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IFOS.V ·

Itafos Receives an Advance IN the Amount of US$4,500,000

Corporate Updates

ITAFOS RECEIVES AN ADVANCE IN THE AMOUNT OF US$4,500,000

TORONTO, ON – September 9, 2017 – Itafos (TSX VENTURE: IFOS) (“Itafos”) announced today that it

has received an advance (the “ Advance”) in the amount of US$4,500,000 from Zaff LLC (“ Zaff”). The

Advance is evidenced by an unsecured promissory note that is pre-payable, in whole or in part, at any

time, bears interest at a rate of 15% per year and matures on February 28, 2018. It is expected that the

proceeds of the Advance, together with available cash, will be used primarily for the ramp-up of the Itafos

Arraias SSP Operations, the contin ued implementation of business development initiatives and general

corporate purposes.

Zaff is a “related party” to Itafos under Multilateral Instrument 61-101 Protection of Minority Security

Holders in Special Transactions (“MI 61-101 ”) by virtue of its shareholdi ng being in excess of 10% of

Itafos’s issued and outstanding share capital. Accord ingly, the Advance from Zaff is a “related party

transaction” under MI 61-101. The transaction is exempt from (i) the formal valuation requirements under

Section 5.4 of MI 61-101 pursuant to Subsection 5.5( a) of MI 61-101; and (ii) the minority approval

requirements under Section 5.6 of MI 61-101 pursuant to either Subs ection 5.7(1)(a) or Subsection

5.7(1)(f) of MI 61-101.

About Itafos

Itafos is focused on becoming a significant integrated producer of phosphate based fertilizers and related

products. Itafos has an ex perienced team with signi ficant experience in t he business of fertilizer

operations, management, marketing and finance. It afos owns and operates the Itafos Arraias SSP

Operations, which consists of an integrated fertilizer producing facility compri sed of a phosphate mine, a

mill, a beneficiation plant, a sulphuric acid plan t, an SSP plant and a granulation plant and related

infrastructure located in central Brazil. Itafos’ exploration portfolio includes a number of additional projects

in Brazil, including the Santana Project, a high-grad e phosphate deposit located in close proximity to the

largest fertilizer market of Mato Grosso State and animal feed market of Pará State, and the Araxá

Project, a high-grade rare earth elements, niobium and phosphate deposit located in close proximity to

two operating mines, therefore benefiting from existi ng local infrastructure. In addition, Itafos owns an

approximate 31.3% interest in GB Minerals which owns the Farim Project, a high-grade phosphate

deposit located in Guinea Bissau and a 100% interest in Stonegate Agricom Ltd. which owns the Paris

Hills Project, a high-grade phosphate deposit located in Idaho, United States and the Mantaro Project, a

high-grade phosphate deposit located in Peru.

About The Blueshirt Group

The Blueshirt Group provides capital markets exper tise and strategic financial and media relations

counsel to growth companies and venture capital firms globally. Founded in 1999, The Blueshirt Group

has earned its reputation as a leader in investor relations (IR), financial communications, financial media

relations and crisis management.

Forward Looking Statements

This news release contains forward-looking information (“ FLI”) regarding future events or the future

performance of Itafos and its affiliates. Generally, FLI can be identified by expressions of belief,

expectation or intention, and often contain words such as “anticipates”, “believes”, “expects”, “estimates”,

“intends”, “plans”, “could”, “may”, “might”, “should”, “would” or variations of such words. FLI is based on

various assumptions, including with respect to operations at the Itafos Arraias SSP Operations and other

projects, technical feasibility, resources and rese rves, mine life, financing sources and use of funds,

growth of Brazilian and global fertiliz er markets, results of operations , performance, business prospects

and opportunities. While Itafos considers these assumptions to be reasonable based on information

currently available, such assumptions may prove to be incorrect. FLI is subj ect to various risks and

uncertainties that could cause actual events or result s to differ materially from those projected. These

risks and uncertainties include, but are not limited to, variations from Itafos’ assumptions regarding the

matters mentioned above; the timing and outcome of current and pending environmental claims or

lawsuits; imprecision in mineral reserves and resour ces estimates; changes in the agriculture, energy,

fertilizer, financial, raw material and transportation market conditions; fluctuations in commodity prices

and currency exchange rates; inability to obtain nec essary permits; insura nce and uninsured risks;

potential increases in production costs; Itafos’ ability to effectively integrate any future acquisitions into its

business structure; changes in government po licy and in environmental and other governmental

regulation; Itafos’ ability to attract and retain sk illed employees with relevant industry expertise;

catastrophic events such as fires, floods, explosions, release of hazardous chemicals and seismic events,

as well as other risks and uncertainties reported by Itafos from time to time in its Management’s

Discussion and Analysis filed with the securities regulatory authorities in Canada and available at

www.sedar.com. FLI should not be read as a guarantee of future events or results. You are cautioned not

to put undue reliance on FLI.

For more information, please visit http://www.blueshirtgroup.com.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in policies of the

TSXV) accepts responsibility for the adequacy or accuracy of this release.

FOR FURTHER INFORMATION, PLEASE CONTACT:

Itafos

Brian Zatarain, Chief Executive Officer

[email protected]

www.itafos.com

The Blueshirt Group

Gary Dvorchak, CFA

Managing Director

+1 (323) 240-5796

[email protected]