Intercontinental Potash Corp.'s strategy is to be one of the world's lowest cost producers of the premium potash, Sulphate of Potash, also known as SOP. Approximately four million tonnes of Sulphate of Potash are sold annually throughout the world. While regular potash, also known as Sylvite or Muriate of Potash (MOP) is a chloride mineral, and many crops find chloride toxic, SOP has no chloride. A second major advantage of SOP over MOP is that Sulphate of Potash has low salinity, compared to standard or regular potash (MOP) which is very saline, and therefore problematic as a fertilizer in many soils of the world. Many crops find chloride in regular or standard potash (MOP) creates a suboptimal potassium fertilizer in terms of growth quality and robustness. Crops which are particularly sensitive to chloride include most fruits and vegetables, tobacco and potatoes in various soils, and many horticultural plants. Many soils in the world, including India, China, North Africa, and the United States are salty, and crops do not do as well in these soils with standard potash (MOP) as with Sulphate of Potash. SOP has a very low salinity compared to MOP, and therefore is much preferred to MOP in salty soils. Given the advantages of Sulpahte of Potash, SOP always sells at a substantial premium price to the price of sylvite or MOP. The premium is usually at least 50%. Intercontinental Potash intends to develop and produce SOP using the mineral polyhalite as a feedstock for SOP. Polyhalite contains the following fertilizer elements: potassium, sulphate, magnesium, and calcium. By using the potassium and sulphate in polyhalite, Intercontinental intends to become one of the world's lowest cost producers of SOP. It is our goal to produce the premium potash, SOP, which can be sold at a premium price, and to produce it at an extremely low cost compared to most other producers of SOP.
