NEWS: Global Fertilizer Shortage Creates Opportunities Global Fertilizer Shortage Creates Opportunities for Vertical Exploration
2022-03-17 08:01 ET - News Release
VANCOUVER, BC / ACCESSWIRE / March 17, 2022 / VERTICAL EXPLORATION INC. (TSXV:VERT) ("Vertical" or "the Company") reports that it is continuing to enhance its production capability and streamline operations at its 100% owned St-Onge Wollastonite property, as it anticipates a significant rise in both demand and prices for all types of agricultural fertilizers, including wollastonite and other micronized natural mineral fertilizers, across North America and the globe.
The ongoing supply chain issues caused by the Covid-19 pandemic and climate change related events, and the emerging widespread sanctions being levied against Russia due to the conflict with Ukraine have resulted in significant worldwide shortages of a range of key fertilizers such as potash (potassium), phosphate products (phosphate) and urea (nitrogen) among others. A number of recent studies and articles, such as the "Agricultural and Resource Economics Jan/Feb 2022 Update", have reported that fertilizer prices are continuing to rise further in 2022 to all-time highs after more than doubling in the last two years. As well, a January 2022 study by Texas A&M University's Agriculture and Food Policy Center reported that as "…the nation struggles to recover from the Covid-19 pandemic, a number of supply chain issues continue to wreak havoc on agricultural input markets, both in terms of availability and cost of inputs". Furthermore, the Texas A&M study states that "fertilizer costs will be as much as 80% higher than last year for this year's (2022) planting season".
According to a July 2021 report published by Research Dive, the global fertilizer market is expected to grow exponentially over the next five to seven years and generate revenue in excess of $323 Billion by 2028. The global industry is currently dominated by synthetic based fertilizers that incorporate nitrogen, phosphorus, potassium and other nutrients into various formulations. With the price of these chemical-based fertilizers rapidly rising due to the current supply chain issues as noted, many agricultural producers are now looking to transition to natural and organic fertilizer alternatives to help fill the current supply chain gaps and move towards more sustainable farming practices.
Vertical believes the current supply chain and price issues affecting traditional synthetic fertilizers, along with the move by many farmers, agricultural producers and more recently municipalities to move towards more sustainable natural-based growing practices, will result in significant increased demand for its premium St-Onge wollastonite and other related natural mineral formulations. Vertical's ongoing research work with highly regarded agricultural research centres, such as the Quebec based AGRINOVA Technology Access Centre (see Vertical's February 22, 2021 news release), to research the wide-ranging agricultural benefits and applications of its wollastonite should help keep the Company at the forefront of the fast growing natural fertilizer industry and lead to significant partnership and revenue opportunities in the months ahead.
ABOUT VERTICAL EXPLORATION
Vertical Exploration's mission is to identify, acquire, and advance high potential mining prospects located in North America for the benefit of its stakeholders. The Company's flagship St-Onge Wollastonite property is located in the Lac-Saint-Jean area in the Province of Quebec.
ON BEHALF OF THE BOARD
Peter P. Swistak, President/CEO
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