TORONTO, ONTARIO--(Marketwired - Nov. 21, 2016) - Potash Ridge Corporation ("Potash Ridge" or "the Corporation") (TSX:PRK), a near term producer of premium fertilizer in North America, is pleased to announce that it has retained Gateway Credit Partners Inc. ("Gateway"), an independent financial services corporation with a focus and expertise on U.S. corporate credit markets.
Under the terms of the agreement, Gateway will assist the company in securing financing through their institutional investor base to fund construction of Potash Ridge's sulphate of potash fertilizer ('SOP') Valleyfield project in Quebec, which will become Canada's largest producer of SOP and first using the proven Mannheim technology.
"We are excited to be working with the management and board of Potash Ridge for execution of their Valleyfield and Blawn Mountain projects," said Tim Gramatovich Founder of Gateway. "Our mandate is to help companies achieve their goals and broaden their investor base to include specific investors in the U.S. and abroad. Through the prudent optimization of a company's capital structure, we are able to offer solutions not widely available to Canadian corporations."
"This agreement represents a great opportunity to secure and enhance Valleyfield's project economics, while limiting dilution to our shareholders," stated Guy Bentinck, President and CEO of Potash Ridge. "Access to long-term capital will allow us to dedicate more of our resources to completing the development of Valleyfield and, most notably for the Blawn Mountain project in Utah."
About Potash Ridge
Potash Ridge's strategy is to become a premier producer of sulphate of potash or SOP in North America. The Corporation owns two SOP projects: the Valleyfield Project that plans to produce SOP through the Mannheim Process; and the Blawn Mountain Project in Utah that plans to produce SOP by processing an alunite material. Potash Ridge has a highly qualified and proven management team in place with significant financial, project management and operational experience and the ability to take projects into production.
About Gateway Credit Partners
Gateway is an independent financial services corporation based in Calgary, Alberta with a focus and expertise on corporate credit markets. The company's core strengths are sourcing, valuing and placing credit across the continuum of sub-investment grade markets and assisting companies with the communication supporting such issuance.
The company was founded by Tim Gramatovich a 30 year veteran of the US leveraged finance markets. In 1995 he co-founded Peritus Asset Management, a high yield and leveraged loan manager based in Santa Barbara, California. Mr. Gramatovich was a Portfolio Manager with Smith Barney's Asset Management Division in Los Angeles, where he managed high yield portfolios for high net worth individuals and institutions. Prior to joining Smith Barney, he was a Senior Vice President with Aegis Asset Management Inc. in Los Angeles, setting up their buy side high yield effort. During his career, Mr. Gramatovich worked as a qualified expert on financing and valuation issues for the U.S. Trustee in the Federal Bankruptcy Courts of Los Angeles County. He began his career with Drexel Burnham Lambert in 1984, working in both New York and Los Angeles, assisting in the development and marketing of high yield corporate cash management products. Mr. Gramatovich is a CFA charter holder and a member of the CFA Institute. He is a graduate of the New York Institute of Finance.
This press release contains forward-looking statements, which reflect the Corporation's expectations regarding future growth, results of operations, performance and business prospects. These forward-looking statements may include statements that are predictive in nature, or that depend upon or refer to future events or conditions, and can generally be identified by words such as "may", "will", "expects", "anticipates", "intends", "plans", "believes", "estimates", "guidance" or similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. These statements are not historical facts but instead represent the Corporation's expectations, estimates and projections regarding future events. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Corporation, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to: the future financial or operating performance of the Corporation and its subsidiaries and its mineral projects; the anticipated results of exploration activities; the estimation of mineral resources; the realization of mineral resource estimates; capital, development, operating and exploration expenditures; costs and timing of the development of the Corporation's mineral projects; timing of future exploration; requirements for additional capital; climate conditions; government regulation of mining operations; anticipated results of economic and technical studies; environmental matters; receipt of the necessary permits, approvals and licenses in connection with exploration and development activities; appropriation of the necessary water rights and water sources; changes in commodity prices; recruiting and retaining key employees; construction delays; litigation; competition in the mining industry; reclamation expenses; reliability of historical exploration work; reliance on historical information acquired by the Corporation; optimization of technology to be employed by the Corporation; title disputes or claims and other similar matters.
If any of the assumptions or estimates made by management prove to be incorrect, actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained herein. Such assumptions include, but are not limited to, the following: that general business, economic, competitive, political and social uncertainties remain favorable; that agriculture fertilizers are expected to be a major driver in increasing yields to address demand for premium produce, such as fruits and vegetables, as well as diversified protein rich diets necessitating grains and other animal feed; that actual results of exploration activities justify further studies and development of the Corporation's mineral projects; that the future prices of minerals remain at levels that justify the exploration and future development and operation of the Corporation's mineral projects; that there is no failure of plant, equipment or processes to operate as anticipated; that accidents, labour disputes and other risks of the mining industry do not occur; that there are no unanticipated delays in obtaining governmental approvals or financing or in the completion of future studies, development or construction activities; that the actual costs of exploration and studies remain within budgeted amounts; that regulatory and legal requirements required for exploration or development activities do not change in any adverse manner; that input cost assumptions do not change in any adverse manner, as well as those factors discussed in the section entitled "Risk Factors" in the Corporation's Annual Information Form (AIF) for the year-ended December 31, 2015 found on sedar.com. The Corporation disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.