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IFOS.V ·

Itafos Announces Commencement of Technical Studies Related to Itafos Conda Organic Growth Projects

Corporate Updates

ITAFOS ANNOUNCES COMMENCEMENT OF TECHNICAL STUDIES RELATED TO ITAFOS

CONDA ORGANIC GROWTH PROJECTS

TORONTO, ON – September 10, 2020 – Itafos (TSX-V: IFOS) (the “Company”) announced today

that it has commenced technical studies related to Itafos Conda organic growth projects, including

anhydrous hydrogen fluoride and precipitated silica (“ AHF/PS”) by-product recovery and on-site

ammonia production, as part of the Company’s strategic focus on optimizing Itafos Conda’s

EBITDA generation capability. The Company expects to provide a further update on the respective

technical studies by Q1 2021.

The AHF/PS by-product recovery initiative aims at improving Ita fos Conda’s EBITDA generation

capability by extracting and commercializing high-value by-products AHF and PS without impacting

Itafos Conda’s manufacturing process. The initiative contemplates the extraction of fluoride, in the

form of silico-fluoride, from the tailings pond water at Itafos Conda via continuous ion exchange

(“CIX”) and conversion to AHF and PS considering a patented process. To advance the

development of the initiative, the Company has engaged leading third parties to conduct pilot plant

testing and complete a front-end engineering design (“ FEED”) study, which are expected to be

completed over an 18-month timeframe. The next milestone in adv ancing the development of the

initiative is concentrating silico-fluoride via CIX at pilot scale, which is expected to be completed by

Q1 2021.

The on-site ammonia production initiative aims at improving Ita fos Conda’s EBITDA generation

capability by reducing the cost and stabilizing the supply of ammonia to Itafos Conda by producing

ammonia on-site to meet Itafos Conda’s fertilizer production requirements and commercializing any

excess production. The initiative contemplates the installation of a skid-mounted, small-scale

ammonia plant at Itafos Conda using natural gas as feedstock. T he initiative is expected to rely

upon mature Haber-Bosch technology, recently made viable at sma ll scale due to flexible steam-

methane reforming and skid-mounted ammonia synthesis, and to leverage the existing natural gas

pipeline infrastructure at Itafos Conda. To advance the development of the initiative, the Company

has engaged a leading third party to complete a feasibility study, which is expected to be completed

by Q1 2021.

About Itafos

The Company is a pure play phosphate and specialty fertilizer p latform with an attractive portfolio

of strategic businesses and proje cts located in key fertilizer markets, including North America,

South America and Africa.

The Company’s businesses and projects are as follows:

 Itafos Conda – a vertically integrated phosphate mine and fert ilizer business with

production and sales capacity of approximately 550kt per year o f monoammonium

phosphate (“ MAP”), MAP with micronutrients (“ MAP+”), superphosphoric acid (“ SPA”),

merchant grade phosphoric acid (“MGA”) and ammonium polyphosphate (“APP”) located

in Idaho, US;

 Itafos Arraias – a vertically integrated phosphate mine and fe rtilizer business with

production and sales capacity of approximately 500kt per year o f single superphosphate

(“SSP”), SSP with micronutrients (“ SSP+”) and approximately 40kt per year of excess

sulfuric acid located in Tocantins, Brazil;

 Itafos Farim – a high-grade phosphate mine project located in Farim, Guinea-Bissau;

 Itafos Paris Hills – a high-grade phosphate mine project locat ed in Idaho, US;

 Itafos Santana – a vertically i ntegrated high-grade phosphate mine and fertilizer plant

project located in Pará, Brazil;

 Itafos Mantaro – a phosphate m ine project located in Junin, Peru; and

 Itafos Araxá – a vertically i ntegrated rare earth elements and niobium mine and extraction

plant project located in Minas Gerais, Brazil.

For more information, or to join the Company’s mailing list to receive notification of future news

releases, please visit the Company’s website at www.itafos.com.

Forward Looking Information

Certain information contained in this news release constitutes forward looking information. All

information other than information of historical fact is forwar d looking information. The use of any

of the words “intend”, “anticipate”, “plan”, “continue”, “estim ate”, “expect”, “may”, “will”, “project”,

“should”, “would”, “believe”, “predict” and “potential” and similar expressions are intended to identify

forward looking information. This information involves known and unknown risks, uncertainties and

other factors that may cause actual results or events to differ materially from those anticipated in

such forward looking information. No assurance can be given that this information will prove to be

correct and such forward looking information included in this n ews release should not be unduly

relied upon.

Forward looking information is subject to a number of risks and other factors that could cause actual

results and events to vary materi ally from that anticipated by such forward looking information.

Although the Company has attempted to identify important factor s that could cause actual results

to differ materially from those contained in forward-looking statements, there may be other factors

that cause results not to be as anticipated, estimated or inten ded. Factors that may cause actual

results to differ materially from expected results described in forward-looking statements include,

but are not limited to, those risk factors set out in managemen t’s discussion and analysis of

operations and financial condition and other disclosure documents available under the Company’s

profile at www.sedar.com and on the Company’s website at www.it afos.com. Readers are

cautioned that the foregoing list of risks, uncertainties and a ssumptions are not exhaustive. The

forward-looking information included in this news release is ex pressly qualified by this cautionary

statement and is made as of the date of this news release. The Company undertakes no obligation

to publicly update or revise any f orward-looking information ex cept as required by applicable

securities laws.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS

THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANG E) ACCEPTS

RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.

For further information, please contact:

Itafos Investor Relations

[email protected]

www.itafos.com