ICL Signs Long-Term Supply Agreement with India Potash Limited to Supply Organic Polysulphate

Rhea-AI Summary

ICL has secured a long-term agreement with India Potash Limited to supply Polysulphate through 2026, delivering a total of 1 million metric tons over five years, with annual quantity increases. Each shipment will be at least 25,000 tons. This deal supports India's organic agriculture program and is notable for its environmentally friendly approach, as Polysulphate is mined and processed with a low carbon footprint. ICL aims to leverage this agreement to enhance its position in the global specialty minerals market.

Positive

• Long-term supply agreement with India Potash Limited for 1 million metric tons of Polysulphate.
• Annual quantity increases, indicating strong demand.
• Supports the Government of India's organic agriculture program, enhancing market visibility.

Negative

• None.

Five-year term to run through 2026

TEL AVIV, Israel--(BUSINESS WIRE)-- ICL (NYSE: ICL) (TASE: ICL), a leading global specialty minerals company, today announced it has signed a long-term agreement with India Potash Limited (IPL) to supply Polysulphate through 2026, with a renewal option. The five-year term is for an aggregate amount of 1 million metric tons, with quantities increasing for each year of the agreement. Each shipment will be a minimum of 25,000 tons and equally distributed across the calendar year, with prices and payment terms to be fixed between IPL and ICL from time to time.

.The availability of Polysulphate is expected to help boost the Government of India’s organic agriculture program. Polysulphate is available in its natural state and is mined, crushed, screened and bagged, with no additional chemical separation or other industrial processes – unlike blended or compound fertilizers – and has the lowest carbon footprint available globally. Polysulphate is a cost-effective answer to crop nutrition, as it contains four key plant nutrients: sulfur, potassium, magnesium and calcium, which are steadily available to plants along the crop cycle.

About ICL

ICL Group is a leading global specialty minerals company, which also benefits from commodity upside. The company creates impactful solutions for humanity's sustainability challenges in the global food, agriculture and industrial markets. ICL leverages its unique bromine, potash and phosphate resources, its passionate team of talented employees, and its strong focus on R&D and technological innovation, to drive growth across its end markets. ICL shares are dually listed on the New York Stock Exchange and the Tel Aviv Stock Exchange (NYSE and TASE: ICL). The company employs more than 12,000 people worldwide, and its 2021 revenues totaled approximately $7 billion.

For more information, visit ICL's website at www.icl-group.com.

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Forward Looking Statements

This announcement contains statements that constitute forward‑looking statements, many of which can be identified by the use of forward‑looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “estimate” and “potential,” among others.

Forward-looking statements appear in this press release and include, but are not limited to, statements regarding the company’s intent, belief or current expectations. Forward-looking statements are based on management’s beliefs and assumptions and on information currently available to management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors, including, but not limited to: estimates, forecasts and statements as to management's expectations with respect to, among other things, business and financial prospects, financial multiples and accretion estimates, future trends, plans, strategies, positioning, objectives and expectations, general economic, market and business conditions, supply chain and logistics disruptions, the potential for new COVID-19 variants, global unrest and conflict, governmental and regulatory requirements and actions by governmental authorities, including changes in government policy, changes in environmental, tax and other laws or regulations and the interpretation thereof. As a result of the foregoing, readers should not place undue reliance on the forward‐looking statements contained in this press release concerning the timing of the transaction, or other more specific risks and uncertainties facing ICL, such as those set forth in the “Risk Factors” section of its Annual Report on Form 20-F filed on February 23, 2022, as such risk factors may be updated from time to time in its Current Reports on Form 6-K and other filings ICL makes with the U.S. Securities and Exchange Commission from time to time.

Forward-looking statements refer only to the date they are made, and the company does not undertake any obligation to update them in light of new information or future developments or to publicly release any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220613005735/en/

Investor Relations Contact

Peggy Reilly Tharp

VP, Global Investor Relations

+1-314-983-7665

Peggy.ReillyTharp@icl-group.com

Press Contact

Adi Bajayo

Scherf Communications

+972-52-4454789

Adi@scherfcom.com

Source: ICL Group LTD

FAQ

What is the significance of ICL's agreement with India Potash Limited?

The agreement secures a long-term supply of 1 million metric tons of Polysulphate, enhancing ICL's market position and supporting India's organic agriculture.

How long will ICL supply Polysulphate to India Potash Limited?

ICL will supply Polysulphate through 2026, with a renewal option.

What are the environmental benefits of Polysulphate?

Polysulphate has a low carbon footprint, as it is mined without additional chemical processes, supporting sustainable agriculture.

What is the annual shipment quantity agreed upon by ICL and IPL?

The agreement specifies a minimum shipment of 25,000 tons per delivery.

What impact does the ICL and IPL agreement have on investors?

This agreement potentially boosts ICL's revenue and market presence, making it a positive development for investors.