Potash Ridge Corporation announced the results of an independent economic impact analysis for its 100%-owned Blawn Mountain Project.
The analysis, commissioned by Potash Ridge, was completed by Louis Berger, an international professional services company with extensive experience in completing these types of analyses.
The analysis sets out the anticipated economic benefits of the project to the State of Utah and the local counties (Beaver County and Iron County) during the expected construction and operation stages. In total, the construction phase of the project will generate approximately 7,300 jobs in Utah, with about 4,550 of those jobs benefitting the surrounding counties. The total Gross Regional Product ("GRP") will exceed $1.1 billion per annum in Utah during the construction phase through direct, indirect and induced impacts.
The analysis anticipates that subsequent mine and plant operations will generate on average 3,100 jobs per year in Utah during the project's 40-year mine life, with over half being employed within Beaver and Iron Counties. The GRP in Utah throughout the operations stage is expected to be $375 million per annum, with $230 million to be generated in the local economy.
Guy Bentinck, president and chief executive officer, said, "We are delighted to share the results of this analysis and highlight the significant economic impact that our project is expected to have locally and in the state. Additionally, the project will provide an annual revenue stream for Utah public schools through royalty payments, which will directly benefit current and future generations of school kids in the state. We look forward to building on our strong partnership with the School and Institutional Trust Lands Administration ("SITLA") as we continue to advance our project."
The results of the analysis has also solicited expressions of support for the project from numerous key stakeholders.
Lt. Governor Spencer J. Cox commented, "The partnership between Potash Ridge and SITLA to develop the Blawn Mountain Project is a prime example of why Utah is a great place to do business. Thanks to the vision and leadership of Beaver and Iron County Commissioners, SITLA and others, we have an exciting opportunity before us. This Project will bring a significant number of high paying jobs to rural Utah and other parts of our state. The Governor is very pleased with the progress that has occurred and is encouraged that, with the experience of the Potash Ridge management team in developing large-scale mining projects, we will see this project in full operation."
Kevin S. Carter, director of SITLA said, "The impact of this Project on behalf of the public education system will be nothing short of tremendous. To put it in perspective, projected annual royalties of $28.7 million represent nearly one-fourth of our agency's total earnings currently generated each year from literally thousands of leases and other business transactions. Such projected trust land earnings from a singular lessee is unprecedented."
Beaver County Commissioner, Mark Whitney said, "Potash Ridge's Blawn Mountain Project is a world-class operation. We are very pleased with the achievements made by the corporation in expediting development of the Project. Blawn Mountain is slated to boost Utah's economy by several billion dollars over the next 40 years and provide large-scale economic development in economically underserved areas in Beaver and Iron County."
Beaver County Commissioner, Mike Dalton commented, "The Blawn Mountain Project has achieved several major permitting milestones since its inception, reflecting the strength of the management team to work in unison with state and local government representatives. Potash Ridge has invested and continues to invest millions of dollars into the project, which shows their level of commitment."
Iron County Commissioners Adams, Brinkerhoff and Miller commented, "Iron County enthusiastically supports the prospect of Potash Ridge developing the Blawn Mountain Project in neighboring Beaver County. This project has tremendous appeal economically as a primary sector industry that will create thousands of jobs in Beaver and Iron County. We are pleased to see the efforts of Potash Ridge advance this Project and again express our desire to see it succeed."
The analysis, which is available on Potash Ridge's website, contains forward looking statements and is subject to a number of estimates and assumptions. If any of these assumptions or estimates prove to be incorrect, actual results and developments are likely to differ, and may differ materially, from those expressed above. See "Forward Looking Statements" below for a description of certain material estimates and assumptions.