MustGrow and Phospholutions Sign Canadian Distribution Agreement for Phosphorous Efficiency Product - RhizoSorb(R)

Rhea-AI Summary

MustGrow Biologics (MGROF) has signed a distribution agreement with Phospholutions to sell RhizoSorb®, a phosphorous efficiency product, through its Canadian division NexusBioAg. RhizoSorb® is designed to replace conventional phosphate fertilizers by enhancing nutrient use efficiency, allowing farmers to reduce phosphorus application by up to 50% while maintaining or improving crop yields. The product offers potential savings of up to US$20 per acre and significant environmental benefits, including 45.2% reduction in CO2e emissions, 78% reduction in phosphorus runoff, and 84% reduction in leaching compared to conventional MAP fertilizer. With Canada's 94.5 million acres of phosphate-dependent crop production, this partnership aims to deliver more cost-effective and sustainable fertilizer solutions to Canadian retailers and growers.

Positive

• Product reduces phosphorus application by up to 50% while maintaining or improving crop yields
• Potential cost savings of up to US$20 per acre for farmers
• Significant environmental benefits: 45.2% reduction in CO2e emissions, 78% reduction in phosphorus runoff
• Access to large Canadian market with 94.5 million acres of phosphate-dependent crop production
• No changes required to existing equipment or practices for implementation

Negative

• None.

• Distribution agreement in Canada under MustGrow's sales and distribution division NexusBioAg.

• RhizoSorb^® releases nutrients in the soil more efficiently to reduce phosphorus use by up to 50% while maximizing crop yield.

• Sustainable production and responsible use of phosphorus is critical to support global food demands.

Saskatoon, Saskatchewan--(Newsfile Corp. - June 10, 2025) - MustGrow Biologics Corp. (TSXV: MGRO) (OTCQB: MGROF) (FSE: 0C0) (the "Company" or "MustGrow"), a leading provider of biological and regenerative agriculture solutions, is pleased to announce the addition of Phospholutions Inc.'s ("Phospholutions") RhizoSorb^® phosphorous efficiency product. MustGrow and Phospholutions have signed a distribution agreement whereby MustGrow will sell RhizoSorb through its Canadian sales and distribution division, NexusBioAg (website: NexusBioAg).

Traditionally, the majority of applied phosphates are quickly tied up in soil, making them unavailable for plant uptake. As little as 10% of conventional phosphorus fertilizer is used by the crop. RhizoSorb^® offers a controlled release, avoiding tie up while decreasing nutrient leaching.

RhizoSorb^® Product Highlights^[1]

RhizoSorb^® patented technology is designed to replace conventional commodity fertilizers like monoammonium phosphate ("MAP") and diammonium phosphate ("DAP"), by enhancing nutrient use efficiency through its integration into dry-granule phosphate production. It offers the same ease of application as traditional granular fertilizers, requiring no changes to existing equipment or practices.

RhizoSorb^® increases phosphorus efficiency by up to 50%, allowing farmers to apply half the applied phosphorus of their traditional fertilizer while maintaining, and even improving yield. This efficiency translates to better grower return on investment, with potential savings of up to US$20 per acre by optimizing fertilizer inputs and reducing costs without sacrificing yield.

In addition to economic benefits, RhizoSorb^® delivers meaningful environmental advantages, reducing CO₂e emissions by 45.2%, phosphorus runoff by 78%, and leaching by 84% compared to conventional MAP fertilizer.

"With approximately 94.5 million acres of crop production that depend on phosphate, Canada is a key market," said Craig Dick, VP Sales and Marketing. "We are proud to partner with MustGrow to deliver RhizoSorb^® to retailers and growers across Canada."

"This partnership marks another major milestone in Phospholutions' journey," added Hunter Swisher, CEO of Phospholutions. "Partnering to bring more cost-effective fertilizer solutions to the Canadian market supports our broader global expansion efforts."

"MustGrow and Phospholutions share a common mission to improve the global food system through sustainable production solutions," said Colin Bletsky, COO of MustGrow. "Phosphorus is the second-most-used nutrient in global food production, making its efficient and responsible use a top priority for both our companies and the growers we serve."

Benefits of Reduced-Rate Phosphate

RhizoSorb^® features a 38% lower salt index, promoting healthier soils and long-term productivity. Growers benefit from lower application rates, reduced input costs, and sustained yields. For retailers, it offers reduced storage and logistics costs along with stronger margins. Environmentally, RhizoSorb^® cuts CO₂ emissions by reducing carbon-intensive ingredients during manufacturing, reducing logistics across import, retail, and farm.

About Phospholutions Inc.

Phospholutions' mission is to enhance global phosphorus use. It believes that sustainable production and responsible use of phosphorus is critical to support global food demands. RhizoSorb^® was developed to cut costs and reduce the environmental impact of fertilizer use by releasing nutrients in the soil more efficiently. Phospholutions' patented fertilizer is incorporated into production to create higher efficiency products that maximize the use of phosphate resources. For further details, please visit www.phospholutions.com.

About MustGrow

MustGrow is a fully-integrated provider of innovative biological and regenerative agriculture solutions designed to support sustainable farming. The Company's proprietary and third-party product lines offer eco-friendly alternatives to restricted or banned synthetic chemicals and fertilizers. In North America, MustGrow offers a portfolio of third-party crop nutrition solutions, including micronutrients, nitrogen stabilizers, biostimulants, adjuvants and foliar products. These products are synergistically distributed alongside MustGrow's wholly-owned proprietary products and technologies that are derived from mustard and developed into organic biocontrol and biofertility products to help replace banned or restricted synthetic chemicals and fertilizers. Outside of North America, MustGrow is focused on collaborating with agriculture companies, such as Bayer AG in Europe, the Middle East and Africa, to commercialize MustGrow's wholly-owned proprietary products and technologies. The Company is dedicated to driving shareholder value through the commercialization and expansion of its intellectual property portfolio of approximately 112 patents that are currently issued and pending, and the sales and distribution of its proprietary and third-party product lines through NexusBioAg. MustGrow is a publicly traded company (TSXV-MGRO) and has approximately 52.4 million common shares issued and outstanding and 59.4 million shares fully diluted. For further details, please visit www.mustgrow.ca.

Contact Information

Corey Giasson
Director & CEO
Phone: +1-306-668-2652
info@mustgrow.ca

MustGrow Forward-Looking Statements

Certain statements included in this news release constitute "forward-looking statements" which involve known and unknown risks, uncertainties and other factors that may affect the results, performance or achievements of MustGrow.

Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects", "is expected", "budget", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", "occur" or "be achieved". Forward-looking statements in this press release, including statements about the ability of RhizoSorb^® to reduce costs, environmental impacts, and strengthen retailer profit margins, are subject to a number of risks and uncertainties that may cause the actual results of MustGrow and its distributed products to differ materially from those discussed in such forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, MustGrow. Important factors that could cause MustGrow's actual results and financial condition to differ materially from those indicated in the forward-looking statements include the accuracy of the information provided by Phospholutions Inc. regarding RhizoSorb® as well as those risks described in more detail in MustGrow's Annual Information Form for the year ended December 31, 2024 and other continuous disclosure documents filed by MustGrow with the applicable securities regulatory authorities which are available on SEDAR+ at www.sedarplus.ca. Readers are referred to such documents for more detailed information about MustGrow, which is subject to the qualifications, assumptions and notes set forth therein.

Neither the TSXV, nor their Regulation Services Provider (as that term is defined in the policies of the TSXV), nor the OTC Markets has approved the contents of this release or accepts responsibility for the adequacy or accuracy of this release.

© 2025 MustGrow Biologics Corp. All rights reserved.

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^[1] All statements contained in this press release about product efficacy of RhizoSorb^® and conventional phosphorus fertilizer are based on information from Phospholutions about their field testing RhizoSorb^® in over 500 trials across 14 states for four years.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/254957

FAQ

What is the main benefit of RhizoSorb® for MGROF shareholders?

RhizoSorb® gives MGROF access to Canada's 94.5 million acres of crop production market, offering a product that can save farmers up to US$20 per acre while providing environmental benefits

How much can farmers reduce phosphorus use with RhizoSorb®?

Farmers can reduce phosphorus application by up to 50% while maintaining or improving crop yields

What environmental benefits does RhizoSorb® offer compared to conventional fertilizers?

RhizoSorb® reduces CO2e emissions by 45.2%, phosphorus runoff by 78%, and leaching by 84% compared to conventional MAP fertilizer

How will the distribution agreement between MustGrow and Phospholutions work?

MustGrow will sell RhizoSorb® through its Canadian sales and distribution division, NexusBioAg

What is the market potential for RhizoSorb® in Canada?

The Canadian market includes approximately 94.5 million acres of crop production that depend on phosphate fertilizers