Millennial Potash: U.S. Proposes to Add Potash to Critical Minerals List as US DFC Backs Banio Project in Gabon

Rhea-AI Summary

Millennial Potash (OTCQB:MLPNF) announces two significant developments: the U.S. Department of Interior's inclusion of potash in its 2025 Draft List of Critical Minerals and a US$3 million project development funding commitment from the U.S. International Development Finance Corporation (DFC) for its Banio Potash Project in Gabon.

The Banio Project, strategically located on Gabon's Atlantic coast, demonstrates strong economics with an after-tax NPV10% of US$1.07 billion and a 32.6% IRR. Operating costs are projected at US$61 per tonne of granular potash. Recent drilling has confirmed up to 250 meters of potash-rich horizons at the North Target.

The project's coastal location offers direct shipping routes to the U.S., Brazil, and Africa, supported by nearby infrastructure including an ongoing port construction at Mayumba and a new regional power plant.

Positive

• U.S. recognition of potash as critical mineral enhances project's strategic value
• Secured US$3 million in DFC funding for project development
• Strong project economics with US$1.07B NPV and 32.6% IRR
• Low operating costs of US$61/tonne for granular potash
• Strategic coastal location with direct shipping routes to key markets
• Confirmed 250-meter potash-rich horizons with expansion potential
• Government support and infrastructure advantages including new port and power plant

Negative

• Project still in early feasibility study phase
• Future financing requirements for full project development
• Subject to regulatory and government approvals
• Dependent on successful completion of feasibility studies

West Vancouver, British Columbia--(Newsfile Corp. - August 27, 2025) - Millennial Potash Corp. (TSXV: MLP) (OTCQB: MLPNF) (FSE: X0D) ("MLP", "Millennial" or the "Company") announces that the U.S. Department of the Interior has included potash on its 2025 Draft List of Critical Minerals. This inclusion in the Draft List comes as the U.S. International Development Finance Corporation ("DFC") commits US$3 million in project development funding for Millennial's Banio Potash Project in Gabon, recognizing its strategic role in potentially strengthening U.S. food security and supply chain resilience.

Farhad Abasov, Chair of Millennial, commented: "The proposed U.S. recognition of potash as a critical mineral is a major milestone for our industry. For Millennial, it highlights Banio's unique position as a potential new, low-cost supply source for the U.S. agricultural sector. With DFC funding in place, strong support from the Government of Gabon, and our project's direct shipping route to U.S. ports, Banio is strategically aligned with America's food security and supply chain priorities. In addition, Banio can potentially become the first African potash mine to supply potash to the African continent which currently imports all its potash."

Potash: Now a U.S. Strategic Priority
Potash is essential for global agriculture but is overwhelmingly supplied by just a few countries — Canada, Russia, and Belarus. By adding potash to the Draft Critical Minerals List, the U.S. government has acknowledged its vulnerability to supply shocks and trade restrictions. This proposed recognition is intended to guide federal strategy and investment toward securing diverse, stable, and geopolitically reliable sources of supply.

Banio Potash Project: A Direct Atlantic Supply Route to the U.S.
Millennial's Banio Potash Project sits on Gabon's Atlantic coast, offering a short, cost-efficient shipping route directly to the United States as well as Brazil, the world's largest potash importer, and of course, Africa. Unlike inland projects, Banio benefits from proximity to infrastructure, ongoing construction of a port at Mayumba, and a new regional power plant all of which reduce delivery risk and strengthen its position as a future cornerstone supplier to the U.S. agricultural market and beyond.

The project has already demonstrated strong economics, with a Preliminary Economic Assessment (PEA) showing an after-tax NPV10% of US$1.07 billion, a 32.6% IRR, and operating costs of only US$61 per tonne of granular potash (gMOP) (see MLP news release dated April 23, 2024) Recent drilling results confirmed up to 250 meters of potash-rich horizons at the North Target, with further resource expansion potential and a revised mineral resource estimate calculation currently underway (see MLP news releases dated May 6, 2025 and June 26, 2025).

U.S. DFC Backing De-Risks Banio Potash Project
The DFC's strategic investment in Banio is designed to de-risk the project and prepare it for potential future U.S. debt financing. DFC is the U.S. Government's development finance institution that partners with the private sector to mobilize capital for strategic investments around the world. The strategic investment, done under the DFC's Project Development Program, will support a Feasibility Study ("FS") on the Company's Banio Potash Project (see MLP news release dated July 9, 2025). Project development funds from DFC will be released over the course of the feasibility study and will be based on milestone activities completed that form integral parts of the feasibility study. MLP has initiated early-stage feasibility study work at Banio including a LiDAR survey to generate a Digital Terrain Model, a bathymetry survey of the lagoon, creep geotechnical tests and dissolution testwork on recently acquired drill core from holes BA-001-EXT and BA-004.

To find out more about Millennial Potash Corp. please contact Investor Relations at (604) 662-8184 or email at info@millennialpotash.com.

Keep up-to-date on Millennial Potash developments and join our online communities on: Twitter, Facebook, LinkedIn, Instagram and YouTube.

MILLENNIAL POTASH CORP.

"Farhad Abasov"
Chair of the Board of Directors

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This document may contain certain "Forward-Looking Statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When used in this news release, the words "anticipate", "believe", "estimate", "expect", "target, "plan" or "planned", "forecast", "intend", "may", "schedule" and similar words or expressions identify forward-looking statements or information. These forward-looking statements or information may relate to future prices of commodities, accuracy of mineral or resource exploration activity, reserves or resources, regulatory or government requirements or approvals including approvals of title and mining rights or licenses and environmental (including land or water use), local community or indigenous community approvals, the reliability of third party information, continued access to mineral properties or infrastructure, changes in laws, rules and regulations in Gabon or any other jurisdiction which may impact upon the Company or its properties or the commercial exploitation of those properties, currency risks including the exchange rate of USD$ for Cdn$ or CFA or other currencies, fluctuations in the market for potash or potash related products, changes in exploration costs and government royalties, export policies or taxes in Gabon or any other jurisdiction and other factors or information. The Company's current plans, expectations and intentions with respect to development of its business and of the Banio Potash Project may be impacted by economic uncertainties arising out of any pandemic or by the impact of current financial and other market conditions on its ability to secure further financing or funding of the Banio Potash Project. Such statements represent the Company's current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political, environmental and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules and regulations.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/264006

FAQ

What is the significance of potash being added to the U.S. Critical Minerals List for MLPNF?

The addition enhances Millennial Potash's strategic importance as a potential new, low-cost potash supplier to the U.S. agricultural sector, potentially improving access to funding and government support.

What are the key financial metrics of MLPNF's Banio Potash Project?

The project has an after-tax NPV10% of US$1.07 billion, a 32.6% IRR, and projected operating costs of US$61 per tonne of granular potash.

How much funding did MLPNF receive from the U.S. DFC for the Banio Project?

The U.S. International Development Finance Corporation (DFC) committed US$3 million in project development funding for feasibility studies.

What are the competitive advantages of MLPNF's Banio Potash Project?

The project benefits from its strategic coastal location in Gabon, offering direct shipping routes to the U.S., Brazil, and Africa, plus proximity to infrastructure including a new port and power plant.

What are the latest drilling results from MLPNF's Banio Project?

Recent drilling confirmed up to 250 meters of potash-rich horizons at the North Target, with further resource expansion potential.