GrowMax management is continuously evaluating opportunities to invest in projects offering attractive returns, especially when they are potentially complementary to or synergistic with our existing strategy and assets, including in particular the Bayovar concessions.
In addition to the phosphate and brine resource development projects, the following two related projects are worth noting:
Production of New Fertilizer Products for the Regional Market
In studying the local fertilizer market in Peru and the surrounding region, GrowMax management has determined that there is an opportunity to pursue a market for fertilizers.
In early 2016, GrowMax initiated a study for the potential to produce and sell single super phosphate (SSP) in Peru with an objective of providing early cash flow for the Company. The study contemplates that phosphate rock, which is readily available in Peru, will be purchased for the plant. Sulfuric acid, a major input for the production of SSP, is also readily available in Peru. Depending upon the Company's assessment of resources on the Bayovar Property, phosphate rock from the Bayovar Property could be utilized by the plant, should the concessions be developed.
Sodium Chloride (NaCl) Sales
In the process of evaluating the brine/potash mineral resource on its Bayovar Property, GrowMax is considering the potential for the sales of raw or refined common salt (Sodium Chloride, or NaCl) that is produced in significant volumes in the process of recovering any other mineral salts from the brine. Based on initial market assessments, the Company believes there is an opportunity for early sales of NaCl to meet significant local demand at attractive prices.