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- Minbos Resources (MNB) lodges a memorandum of understanding (MoU) for the Angolan fertiliser and farm productivity program (AFPPP)
- The MoU will underpin the marketing and growth component of the company’s upcoming definitive feasibility study (DFS)
- The MoU was lodged on behalf of the International Fertilizer Development Centre (EFDC) with Angola’s Ministry of Agriculture and Rural Development
- Through the AFPPP, the IFDC is initially targeting the supply of up to 120,000 tonnes per annum of the company’s beneficiated phosphate rock fertiliser to Angolan farmers who signed up for the program
- Shares in Minbos are up 6.52 per cent, trading at 12.3 cents at market close
Minbos Resources (MNB) has lodged a memorandum of understanding (MoU) for the Angolan fertiliser and farm productivity program (AFPPP).
This will underpin the marketing and growth component of the upcoming definitive feasibility study (DFS).
The MoU was lodged on behalf of the International Fertilizer Development Centre (EFDC) with Angola’s Ministry of Agriculture and Rural Development.
Through the AFPPP, the IFDC is initially targeting the supply of 30,000 to 120,000 tonnes per annum of Minbos’ beneficiated phosphate rock fertiliser to farmers who have signed up for the program.
This represents at least 300 kilograms per hectare for each farmer in the initial year, which will then require between 25 to 50 kilograms per hectare per annum thereafter.
For the company, the program’s underpinning of its DFS is the most important factor of its involvement and is currently engaged with some of the country’s largest commercial farms to secure binding sales and offtake agreements.
Commenting on the MoU, CEO Lindsay Reed said the program will double the productivity of 1.5 million smallholder farmers, increase food and nutrition security and reduce food imports.
“In the next five years, further expansion of mining and local fertilizer production will expand Minbos’ fertilizer consumption to 375,000 million tonnes per year and reach three million farmers,” Mr Reed anticipates.
“This creates opportunities for large-scale food processing and food exports and create job opportunities in the fertilizer industry, in agricultural production and agribusiness.”
As part of the AFFPP, the company presented a proposal for a Soil Organic Carbon (SOC) to the IFDC to allow Minbos to capitalise on a new revenue stream based on the growing carbon credit market.
Shares in Minbos were up 6.52 per cent, trading at 12.3 cents at market close.
