Company receives official SUFRAMA registration, enabling access to federal tax incentives
Milestone demonstrates strong Brazil federal government support and de-risks key project assumptions
MANAUS, Brazil, Dec. 16, 2025 (GLOBE NEWSWIRE) -- Brazil Potash Corp. ("Brazil Potash" or the "Company") (NYSE-American: GRO), a mineral exploration and development company with a critical mineral potash agriculture project, the Autazes Project, announced today that its wholly-owned Brazilian subsidiary, Potássio do Brasil Ltda., received official registration from SUFRAMA (Superintendência da Zona Franca de Manaus), the federal agency responsible for managing tax incentives regimes under the Manaus Free Trade Zone (ZFM) framework in the Western Amazonas Region. SUFRAMA registration means the Company is eligible to operate under SUFRAMA-administered tax incentive procedures, subject to applicable rules, approvals and project-specific authorizations
The Company estimates that access to SUFRAMA-administered federal tax incentive regimes could result in up to ~US$94 million in estimated tax savings over the construction phase, subject to compliance with applicable requirements and individual authorizations. This milestone validates key financial assumptions underlying the project's economic model and demonstrates continued strong support from Brazilian federal authorities.
Raphael Bloise, Project Director of Potássio do Brasil, receives the SUFRAMA registration certificate from Bosco Saraiva, Superintendent of SUFRAMA, at a formal ceremony in Manaus on December 16, 2025.
In recognition of this milestone, the Superintendent of SUFRAMA invited representatives from Brazil Potash to receive the registration certificate in person at a formal ceremony in Manaus. The meeting, which took place on December 16, 2025, was attended by Company representatives including Project Director, Raphael Bloise, and highlighted the collaborative relationship between the federal government and the Autazes Project.
"Securing SUFRAMA registration is an important milestone that supports the tax assumptions we have long anticipated for the Autazes Project," said Raphael Bloise, Project Director of Potássio do Brasil. "This registration enhances visibility and predictability in our financial model, while actual tax incentives remain subject to applicable rules, procedures and project-specific authorizations, and underscores the federal government's commitment to supporting strategic mineral development in the Amazon region."
As a registered entity within the Western Amazonas Region, Potássio do Brasil is now eligible to apply for and operate under the following federal tax incentive regimes, subject to applicable procedures and approvals:
Import Duty (Imposto de Importação - II): Potential exemption or reduction on qualifying imports conducted under the Manaus Free Trade Zone framework, subject to SUFRAMA and Federal Revenue procedures and approvals
Tax on Industrialized Products (Imposto sobre Produtos Industrializados - IPI): Exemption on qualifying goods imported or produced under the ZFM framework, subject to applicable rules and approvals.
These exemptions apply to capital expenditures during the construction phase of the Autazes Project and are administered by SUFRAMA, a federal agency linked to Brazil's Ministry of Development, Industry, and Trade.
About Brazil Potash
Brazil Potash (NYSE-American: GRO) (www.brazilpotash.com) is developing the Autazes Project to supply sustainable fertilizers to one of the world’s largest agricultural exporters. Brazil is critical for global food security as the country has amongst the highest amounts of fresh water, arable land, and an ideal climate for year-round crop growth, but it is vulnerable as it imported over 95% of its potash fertilizer in 2024, despite having what is anticipated to be one of the world’s largest undeveloped potash basins in its own backyard. The potash produced will be transported primarily using low-cost river barges on an inland river system in partnership with Amaggi (www.amaggi.com.br), one of Brazil’s largest farmers and logistical operators of agricultural products. With an initial planned annual potash production of up to 2.4 million tons per year, Brazil Potash’s management believes it could potentially supply approximately 20% of the current potash demand in Brazil. Management anticipates 100% of Brazil Potash’s production will be sold domestically to reduce Brazil’s reliance on potash imports while concurrently mitigating approximately 1.4 million tons per year of GHG emissions.
Cautionary Note Regarding Forward-Looking Statements
This document contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, or the United States Private Securities Litigation Reform Act of 1995, which are statements that are not historical facts. All statements, other than statements of historical facts, included herein and public statements by our officers or representatives, that address activities, events or developments that our management expects or anticipates will or may occur in the future, are forward-looking statements, including but not limited to such things as the SUFRAMA registration, the benefits of such registration including tax and other savings, future business strategy, plans and goals, competitive strengths and expansion and growth of our business. These forward-looking statements, along with terms such as “anticipate,” “expect,” “intend,” “may,” “will,” “should,” and other comparable terms, involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future, and include risks related to changes in government policies and procedures; failure to receive approvals for requested tax savings or exemptions; changes in our operations; uncertainties concerning estimates; industry-related risks; the commercial success of, and risks related to, our development activities; uncertainties and risks related to our reliance on contractors and consultants. Those statements include statements regarding the intent, belief, or current expectations of the Company and members of its management, as well as the assumptions on which such statements are based, and such forward-looking statements include, without limitation, statements regarding the SUFRAMA registration and associated tax benefits, the possibility of advancing project financing discussions, project development timelines, construction advancement, production capacity, market demand projections, cost advantages, environmental benefits, and the status of the Company's project, government regulation, and environmental regulation. Although we have attempted to identify important factors that could cause actual results to differ materially from those described in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. Although these forward-looking statements were based on assumptions that the Company believes are reasonable when made, you are cautioned that forward-looking statements are not guarantees of future performance and that actual results, performance or achievements may differ materially from those made in or suggested by the forward-looking statements contained in this news release. In addition, even if our results, performance, or achievements are consistent with the forward-looking statements contained in this news release, those results, performance or achievements may not be indicative of results, performance or achievements in subsequent periods.
Forward-looking statements are subject to risks and uncertainties, many of which are beyond the control of the Company, including those described in the "Risk Factors" section of the Company's annual report on Form 20-F filed with the Securities and Exchange Commission and other filings. These risks include, but are not limited to, fluctuations in potash supply and demand, changes in competitive pressures, timing and amount of capital expenditures, changes in capital markets, currency and exchange rate fluctuations, unexpected geological or environmental conditions, changes in government legislation and regulations, political or economic developments in relevant jurisdictions, success in obtaining required licenses and permits, ability to secure project financing, and other operational risks.
Readers are cautioned not to place undue reliance on any of these forward-looking statements. These forward-looking statements speak only as of the date hereof. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions, or circumstances on which any statement is based, unless required by law.
Contact:
Brazil Potash Investor Relations
[email protected]
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/15127952-9e79-452a-b5d0-1acb8d9a8bd8