Potash Ridge Corporation announced that it has closed the previously announced transaction pursuant to which Potash Ridge has acquired all of the issued and outstanding common shares of Valleyfield Fertilizer Corporation ("Valleyfield"), a privately owned corporation registered in Quebec.
Over the last two years under the leadership of Mr. Jay Hussey, Valleyfield has advanced development of a sulphate of potash ("SOP") project in Quebec utilizing the Mannheim Process (the "Valleyfield Project"). For nine years, Mr. Hussey was a Vice-President at Migao Corporation ("Migao"), a TSX-listed company that produces SOP in China using the Mannheim Process.
Under the terms of the transaction, Mr. Hussey received 200,000 common shares of the Corporation, together with a royalty from future revenue generated by the Corporation utilizing the Mannheim Process. Mr. Hussey has become an employee of Potash Ridge and continues to work on the development of the Valleyfield Project, other identified Mannheim opportunities and other activities.
The Corporation is continuing its capital raising efforts, with initial proceeds to be primarily focused on completing engineering and permitting on the Valleyfield Project. Management is hopeful that the Valleyfield Project's widely used Mannheim technology, low capital cost, attractive preliminary economics and fast timeline to production will be attractive to investors.