Prospect Global Resources Inc. (“Company” or “Prospect”) offers its perspective on recent developments related to potash markets. It’s the Company’s view that if the sector produces at full capacity, the likely response will be an increase in global demand from parts of the world that historically could not afford fertilizer.
Most supply experts predict potash demand will continue to increase at above GDP growth rates, which will require additional production increases over the coming years.
“Based on our recent Pre-Feasibility Study our Holbrook project is designed to produce 1.4 million tons per year and has the lowest estimated capital cost per ton of production of any greenfield project,” said Damon Barber, CEO of Prospect Global Resources Inc. “As incremental production is required to come online over the coming years, we are well positioned to meet that need. Our projected annual production is less than year-over-year demand growth estimates.”
About Prospect Global Resources Inc.Prospect Global Resources Inc. is a Denver-based company engaged in the exploration and development of a potash mine located in the Holbrook Basin of eastern Arizona. Prospect Global’s stock is traded on the NASDAQ Capital Market under the ticker symbol PGRX. Additional details about Prospect Global Resources Inc. can be viewed at the Company’s website, www.prospectgri.com . Regarding Forward-Looking Statements With the exception of historical matters, the matters discussed in this press release include forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from projections or estimates contained herein. Such forward-looking statements include statements regarding current and future classification of Prospect Global’s potash resources, development of its potash resources and potash mining facility and the Pre-Feasibility Study. Factors that could cause actual results to differ materially from projections or estimates include, among others, potash prices, economic and market conditions, and the additional risks described in Prospect Global's filings with the SEC, including Prospect Global's Annual Report on Form 10-K/A for the year ended March 31, 2013. Most of these factors are beyond Prospect Global's ability to predict or control. The forward-looking statements are made as of the date hereof and, except as required under applicable securities legislation, Prospect Global does not assume any obligation to update any forward-looking statements. Readers are cautioned not to put undue reliance on forward-looking statements.