and concentrate reserves are spread across China, Russia, the Middle
East and North Africa.
is the largest exporter of phosphate
fertilizer, with Russia
not far behind. The largest phosphate concentrate reserves, which are
necessary for the production of LFP (lithium-iron-phosphate)
batteries, are in Morocco followed by other Middle Eastern and North
African (MENA) countries. These LFP batteries are becoming prominent
in EVs (electric vehicles) as well as energy storage systems. The West
has typically relied on these suppliers for its phosphate but as
geopolitical concerns emerge, many North American and European
companies are eager to have a phosphate source closer to home.
China and Russia have
recently suspended or minimized exports of phosphate, which is proving
problematic to the supply chain and for manufacturers relying on
Chinese phosphate. Similarly, the phosphate concentrates in the Middle
East and North Africa are dependent on geopolitical stability that is
When you take all
these factors into consideration, it’s apparent that the phosphate
market is in need of a Western supplier that is stable, high quality
and addresses environmental concerns.
Phosphate Checks All The Boxes
Arianne Phosphate Inc.
(OTCMKTS: DRRSF) is a
promising phosphate mining company that can help meet the growing
demand for phosphate used in batteries and fertilizer. The company’s
Lac à Paul project in Quebec, Canada, is a response to the growing
global demand for phosphate, which is increasing by
2% to 3% each
for agricultural demand and, could be considerably higher
when LFP batteries are taken into account.
The Canada-based company
adheres to stricter environmental, social and corporate standards,
aligning with North American and European agendas, and is setting
itself apart from Chinese, Russian and MENA competitors.
One major edge Arianne
says it has is, deposit is igneous which allows it to produce a
concentrate higher than 90% of the world’s phosphate, which is
housed in sedimentary rock. This allows Arianne to produce a
high-purity and low-contaminant phosphate concentrate ideal for use in
batteries and fertilizer.
Arianne is also dedicated to sustainable practices to help
offset the carbon footprint of processes within the supply chain. For
example, battery production is an energy-intensive process so it is
crucial to minimize carbon emissions as much as possible during
its responsibility seriously.
Hydroelectricity — a clean,
green, renewable energy source — will provide 75% of all energy
required for the Lac à Paul project. Arianne also has followed a
greenhouse gas emissions accounting program since 2010 to help reduce
its ecological footprint. The company is committed to being sa
carbon-neutral as possible.
Further, Arianne is considering how its mining
affects local communities. On
June 12, 2015,
the company signed a cooperation
agreement with three First
Nations — indigenous
Canadian peoples — for the exploration and preconstruction
phase of the Lac à
Paul project with ongoing negotiations to conclude its impact
agreement. The Company says it is determined to adhere to best
practices and maintain
its strong social license among the population to
the seven-year downturn in phosphate prices from 2012 to 2019, Arianne
continued to advance its project, receiving all necessary permits from
the government, signing various MoUs and some initial offtakes. The
Lac à Paul project is a fully permitted, shovel-ready project.
As European and North
American companies pivot away from their overdependence on Chinese,
Russian and MENA suppliers, Arianne Phosphate may be well-positioned
to fill the supply gap.
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ARIANNE PHOSPHATE INC.
owns the Lac à Paul phosphate deposit in Quebec, Canada. Fully
permitted and shovel ready, the asset is among the world’s largest
greenfield deposits, capable of producing an environmentally friendly
phosphate concentrate. Due to the nature of its high-purity,
low-contaminant product, Arianne’s phosphate can be used to produce
fertilizer as well as meeting the technical requirements of specialty
applications such as the lithium-iron-phosphate (LFP) battery. The Lac
à Paul deposit is rare due to its geographic location and geological
structure. Arianne Phosphate is listed on both the TSX-V:
and the OTCQX:
This post contains sponsored
advertising content. This content is for informational purposes only
and is not intended to be investing advice.
information contains forward looking statements. All statements, other
than statements of historical fact, included herein, including without
limitation, statements regarding potential mineralisation and
reserves, exploration results and future plans and objectives of
Arianne Phosphate Inc, are forward-looking statements that involve
various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate and actual results and future
events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to
differ materially from Arianne Phosphate Inc’s (“Arianne
Phosphate” or the “Company”) expectations are disclosed under
the heading “Risk Factors” and elsewhere in Arianne Phosphate
Inc’s documents filed from time-to-time with the TSX Venture and
other regulatory authorities.
Brian Ostroff, President
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