Itafos Announces Resumption of Sulfuric Acid Production and Sales at Arraias
News Release
ITAFOS ANNOUNCES RESUMPTION OF SULFURIC ACID PRODUCTION AND SALES AT ARRAIAS
HOUSTON, TX – February 8, 2022 – Itafos Inc. (TSX-V: IFOS) (the “Company”) announced today the resumption of sulfuric
acid production and sales at Arraias. The recommissioning of t he previously idled sulfuric acid plant was completed on
schedule, within budget and with no reportable environmental releases or recordable incidents.
“We are pleased to have safely and successfully completed the recommissioning of the sulfuric acid plant at Arraias. While
we continue to evaluate strategic alternatives for Arraias, we are opportunistically restarting the sulfuric acid plant to supply
market demand and deliver positive margins,” said G. David Delaney, CEO of Itafos.
Arraias’ sulfuric acid plant has production capacity of 220kt per year. The Company expects to operate the sulfuric acid
plant at Arraias with a base load capacity of approximately 10.5kt per month. Arraia s has secured short-term sulfuric acid
offtake agreements for its base load capa city with pricing linked to sulfur benchmarks. Based on ma rket demand, the
Company expects to opportunistically produce additional volumes of sulfuric acid to be sold on the spot market.
The remainder of the infrastructure associated with Arraias’ vertically integrated phosphate fertilizer business, including its
mine, beneficiation plant, acidulation plant and granulation plant remain idled following best practices.
About Itafos
The Company is a phosphate and specialty fertilizer company. The Company’s businesses and projects are as follows:
Conda – a vertically integrated phos phate fertilizer business with produc tion capacity of approximately 550kt per
year of monoammonium phosphate (“MAP ”), MAP with micronutrients (“MAP+”), superphosphoric acid (“SPA”),
merchant grade phosphoric acid (“MGA”) and ammonium polyphosphate (“APP”) located in Idaho, US;
Arraias – a vertically inte grated phosphate fertilizer busi ness with production capac ity of approximately 500kt per
year of single superphosphate (“SSP”), SSP with micronutrients (“SSP+”) and approximately 40kt per year of excess
sulfuric acid (220kt per year gross sulfuric acid production capacity) located in Tocantins, Brazil;
Farim – a high-grade phosphate mine proj ect located in Farim, Guinea-Bissau;
Santana – a vertically integrated high -grade phosphate mine and fertilizer plant project located in Pará, Brazil;
Araxá – a vertically integrated rare earth elements and niobium mine and extraction plant project located in Minas
Gerais, Brazil;
Paris Hills – a phosphate mine project located in Idaho, US (wind down in process); and
Mantaro – a phosphate mine project located in Junin, Peru (wind down in process).
The Company is a Delaware corporation that is headquartere d in Houston, TX. The Company’s shares trade on the TSX
Venture Exchange (“TSX-V”) under the ticker symbol “IFOS”. The Company’s principal shareholder is CL Fertilizers Holding
LLC (“CLF”). CLF is an affiliate of Castlelake, L.P., a global private investment firm.
For more information, or to jo in the Company’s mailing list to receive notification of future ne ws releases, please visit the
Company’s website at www.itafos.com.
Forward-Looking Information
Certain information contained in this news release constitute s 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”, “estimate”, “expect”, “may”, “will”, “project”, “should”, “would”, “believe”, “predict” and “potential” and similar
expressions are intended to identify forw ard-looking information. This informat ion involves known and unknown risks,
uncertainties and other factors that may ca use actual results or events to differ ma terially from those anticipated in such
forward-looking information. No assuranc e can be given that this information w ill prove to be correc t, including, without
limitation, statements with respect to the Company’s ability to supply sulfuric acid market demand with production and sales
of sulfuric acid from Arraias and to deliver positive margins at Arraias. Such forward-looking information included in this
news release should not be unduly relied upon.
TSX-V: IFOS
Forward-looking information is subject to a number of risks and other factors that could cause actual results and events to
vary materially from that anticipated by such forward-looking information. Although the Company has attempted to identify
important factors that could cause actual results to differ ma terially from those contained in forward-looking statements,
there may be other factors that cause results not to be as anticipated, estimated or intended. Factors that may cause actual
results to differ materially from expected results described in forward-looking statements in clude, but are not limited to,
those risk factors set out in the Co mpany’s management’s discussion and analysis and other disclosure documents
available under the Company’s profile at www.sedar.com and on the Company’s website at www.itafos.com. Readers are
cautioned that the foregoing list of risks, uncertainties and assumptions are not exhaustive. The forward-looking information
included in this news release is expressly qualified by this c autionary statement and is made as of the date of this news
release. The Company undertakes no obligation to publicly update or revise any forward-looking information except as
required by applicable securities laws.
NEITHER THE TSX-V NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES
OF THE TSX-V) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.
For further information, please contact:
Itafos Investor Relations
www.itafos.com