Kanga Potash and Republic of Congo Conclude 25-Year Mining Convention, Paving the Way for Transformation in Resource Development

Brazzaville, The Republic of Congo- August 18, 2023 The Republic of Congo and Kanga Potash have reached a historic milestone with the signing of a 25-year Mining Convention on August 18, 2023. This landmark agreement ushers in a new phase of responsible resource development and economic growth for both parties. Representatives of the Republic of Congo, including State Minister and Minister of Mining Industries and Geology, Mr. Pierre Oba; Minister of Transport, of Civil Aviation, and of the Merchant Marine, Mr. Honoré Sayi; and Minister of Economy and Finance, Mr. Jean-Baptiste Ondaye, joined forces to formalize the Mining Convention. Kanga Potash, represented by Mr. Stéphane A. Rigny, Executive Chairman, and Mr. Achim Strauss, CEO, underscored of the commitment of Kanga Potash to sustainable practices and shared growth. Mr. Achim Strauss, CEO of Kanga Potash, commented, “Kanga Potash is proud to have this extraordinary opportunity to playing a pivotal role in transforming the Republic of Congo into a leading producer of fertilizers. Through responsible resource development, we are dedicated to fostering economic progress and sustainable development. ” Of paramount significance is the fact that the Mining Convention was signed yesterday, marks a pivotal moment in the collaboration between Kanga Potash and the Republic of Congo. The Convention encapsulates the terms for responsible mineral resource exploration, extraction and production while upholding sustainable as well as stringent environmental and social standards.
Kanga Potash’s proactive investment of over USD 45 million to date reflects their dedication to advancing responsible resource development. Through diligent exploration, the company has unveiled a resource with unparalleled potential – the densest and thickest exploitable seams of carnallite ever encountered globally. The strategic positioning of the Kanga mining license along the coast is a strategic advantage, effectively and significantly reducing logistics costs – a decisive factor in the production and distribution of bulk commodities like potash. This unique geographical advantage, combined with exceptional geology and access to affordable natural gas, positions Kanga Potash as a first in class in cost-effective potash producer. 
Mr. Pierre Oba, State Minister and Minister of Mining Industries and Geology, expressed the government’s full support for the project, stating, “The Republic of Congo wholeheartedly endorses this unique world-class project, which holds the promise of contributing to food security for Africa and the world. This collaboration showcases our commitment to responsible development for the benefit of our people and the international community.” The Kanga Potash project is poised to redefine economic development in the Republic of Congo. With its promise of job creation, industrial diversification, and sustainable growth, the project offers a beacon of hope in sectors where traditional industries have faced challenges. Mr. Stéphane A. Rigny, Executive Chairman of Kanga Potash, expressed his enthusiasm for the Mining Convention, stating, “The signing solidifies our partnership’s commitment to responsible and mutually beneficial resource development. We look forward to delivering tangible benefits to the Republic of Congo’s economy and its people.
Kanga Potash (“KP”) is a world-class, potash project developer operating in the Republic of Congo (“ROC”), with the potential to become the world’s lowest cost MOP producer with a 12bn tonne Resource and the thickest potash seams ever drilled. The Kanga project has sufficient drilled reserves to support production of 2.4 m tpa MOP for at least 30 years. It has indicated and inferred resource of over c. 12b tonnes carnallite (with an additional c. 13bn tonnes located on the wholly-owned, adjacent Loango permit). The Company has secured two Letters of Intent for MOP off-take agreements, from a well-known trading company and a Fortune 500 company covering 100% of designated production. In June 2022, Kanga Potash’s mining and production licence was officially approved, and construction will begin soon. KP main investors include AMED Funds, Baker Steel Resources Trust, and Sarmin Group Inc.