POTASH
Why is Potash in Demand?
Potash is a vital link in the global food supply chain. Kanga Potash utilizes innovative, sustainable production technologies
Less Arable Land
-14%
Reduced arable land per capita drives the need for increased productivity
Population Growth
+34%
By 2050 the world’s population will reach c. 9 billion. 34% higher than today
Changing Diet
+63%
Protein per capita is increasing from 80g to 130g per day. Urbanization, higher income, etc. are driving diets to higher valued crops
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KCI
Fertilizer and scientific applications of fertilizer are key instruments to higher productivity and yields
The Kanga Licence contains the potassium chloride (KCl) fertilizer most often referred to as MOP (which stands for “Muriate of Potash”). It is sold and traded globally and is guaranteed to contain a minimum nutrient content of 60% K2O (Kanga’s MOP has an average 68% carnallite grade, KCl 18.2% equivalent)
Potash is sold into the agricultural market primarily as solid granular and standard products.
Granular product can be easily blended with solid nitrogen and phosphate fertilizers and is typically used in more advanced agricultural markets such as the USA and Brazil. The standard product is more commonly used in major Asian markets.
Potassium plays an important role in the growth and development of plants by activating enzymes, enhancing photosynthesis, aiding nitrogen uptake and helping the plant withstand stress.
It also aids in water retention & improves the quality of crops.
Kanga will produce MOP in two particle size ranges /grades as required to supply its customers. These will be granular grade MOP preferred for physically mixed or bulk blended fertilizers, and standard grade MOP used as a raw material in the production of chemically mixed or compound Nitrogen-Phosphorus-Potassium (NPK) fertilizers.
Because of the anticipated purity of its MOP product, and depending on future market requirements, the Project may also produce a Soluble grade MOP (K62) that is used in water-soluble fertilizers.
Potassium 'K' is one of the 3 principle components of fertilizer labelled by their N–P–K content
Potassium Chloride or MOP (Muriate of Potash) is a main and most economic essential source of Potassium Nutrient
Muriate of Potash 'MOP' – KCl
- Global market of c. 70m tons per year (2021)
- More than 90% of potash produced globally is used for fertilizers and is the most common form of potassium fertilizer (KCl)
- Primarily used for carbohydrate crops, e.g., rice, wheat, corn, oats, barley, etc.
- Lower cost and therefore most widely used
- Morocco offers potential in Northern Africa
- Growing demand in e.g., South Africa, Ivory Coast, Nigeria, Senegal, and Ghana will be important markets for potash with good sales opportunities and short export routes
- NPK blending hubs along Africa’s West coast can be easily reached with significant cost advantages
- Brazil is due to grow over 2-3% and is a target for off take with the short shipping route of 8 to 10 days straight sailing from the ROC thus avoiding long transport distances that other producers require
- Brazil is expected to reach c. 13m tons MOP by 2025 (11.8m tons, 2021)
- Growing demand in e.g., Argentina, Columbia, Mexico, and Uruguay could be further important markets
- Kanga Potash may provide a new source of high-grade MOP to China, India and South East Asia
| Time and distance to port | Sailing time to Brazil | Nautical miles | |
|---|---|---|---|
|
Kanga Potash |
0 km
|
8-10
|
c. 3,800 |
|
Russia |
~1,700 km ~2-3 days |
26-29
|
7,541 – 8,982 |
|
Germany |
+/-350 km ~ 7-10 hrs |
25-28
|
6,575 – 8,017
|
|
Canada |
~1,750 km ~3 days |
31-34 |
8,645 – 9,843
|