TK47 Boosts Crop Protection in Independent Agricultural Tests

TORONTO, ON--(Marketwired - May 25, 2016) - Verde Potash (TSX: NPK) ("Verde" or the "Company") is pleased to announce positive results from tests using TK47 on rice crops. The results showed that TK47 reduced the occurrence of rice blast, a plant-pathogenic fungus, by approximately 44%. Losses due to plant pathogens put a significant constraint on global food production. It is estimated that each year, rice blast disease alone destroys enough rice to feed 60 million people(1).

"These positive results solidify TK47 as an efficient product for crop protection. In Brazil, the crop protection market is worth over US$12B, about four times greater than the local potash market. Highly toxic chemical products account for the majority of the market. TK47 is approved for organic agriculture and can have a major impact in increasing sustainability for 21^st century agriculture," commented President & CEO, Cristiano Veloso.

Rice crop is vulnerable to attacks by many plant pathogens such as fungi, viruses, bacteria and nematodes, which can harm the productivity and quality of the harvested grain. For example, when environmental conditions are favourable to the pathogen, the damage caused by rice blast can compromise up to 100% of production.

TK47 has a high concentration of plant available silicon, an element which induces plants natural resistance against pests and diseases. Silicon supports plant tissues by strengthening the cell walls and leaves thereby reducing the need for fungicides and insecticides.

Results

The test, conducted by an independent consulting firm in the state of Rio Grande do Sul, Brazil, evaluated the agronomic efficiency of TK47 on irrigated rice. The test assessed the nutritional quality of the crop and the incidence of diseases, specifically rice blast. For comparison purposes, two sources of potassium (K₂O) was applied, TK47 and potassium chloride (KCl). Four different doses of TK47 were applied 60 days before planting (Table 1).

The cultivar used was GURI INTA CL, which stands out for its grain quality and productivity. It is a medium maturity cultivar, fully blooming in 94 days and maturing in 125 days.

The results demonstrate that TK47 is effective in controlling rice blast. In the area where a commercial dose (100%) of K₂O from TK47 was applied, the incidence of rice blast was 43.64% lower than in the area treated with the same dose of K₂O from KCl. The disease incidence was also lower when 75% and 25% of K₂O from TK47 was applied.

Table 1 - Treatments and rice blast incidence

About Verde Potash

Verde Potash is an agri-tech company promoting sustainable and profitable agriculture through the development of its Cerrado Verde Project. Cerrado Verde, located in the heart of Brazil's largest agricultural market, is the source of a potassium-rich deposit from which the Company intends to produce solutions for crop nutrition, crop protection, soil improvement and increased sustainability. The Company's portfolio includes TK47 ^„¢, Super Greensand ^„¢ and Alpha.

Cautionary Language and  Forward Looking Statements

NEITHER THE TSX  EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE  POLICIES OF THE TSX EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY  OF THIS RELEASE. THIS PRESS  RELEASE CONTAINS CERTAIN "FORWARD LOOKING STATEMENTS", WHICH INCLUDE BUT IS  NOT LIMITED TO, STATEMENTS WITH RESPECT TO THE FUTURE FINANCIAL OR OPERATING  PERFORMANCE OF THE COMPANY, ITS SUBSIDIARIES AND ITS PROJECTS, AND STATEMENTS  REGARDING USE OF PROCEEDS. FORWARD LOOKING STATEMENTS CAN GENERALLY BE  IDENTIFIED BY THE USE OF WORDS SUCH AS "PLANS", "EXPECTS", OR "DOES NOT  EXPECT" OR "IS EXPECTED", "ANTICIPATES" OR "DOES NOT ANTICIPATE", OR "BELIEVES", "INTENDS", "FORECASTS", "BUDGET", "SCHEDULED", "ESTIMATES" OR  VARIATIONS OF SUCH WORDS OR PHRASES OR STATE THAT CERTAIN ACTIONS, EVENT, OR  RESULTS "MAY", "COULD", "WOULD", "MIGHT", OR "WILL BE TAKEN", "OCCUR" OR "BE  ACHIEVED". FORWARD LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS WHICH MAY CAUSE THE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM  ANY FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SAID  STATEMENTS. THERE CAN BE NO ASSURANCES THAT FORWARD-LOOKING STATEMENTS WILL  PROVE TO BE ACCURATE, AS ACTUAL RESULTS AND FUTURE EVENTS COULD DIFFER  MATERIALLY FROM THOSE ANTICIPATED IN SAID STATEMENTS. ACCORDINGLY, READERS  SHOULD NOT PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS.

Readers are  cautioned not to rely solely on the summary of such information contained in  this release and are directed to the complete set of drill results posted on  Verde's website (www.verdepotash.com) and filed on SEDAR (www.sedar.com) and any future  amendments to such. Readers are also directed to the cautionary notices and  disclaimers contained herein.  

(1) Talbot, Nick. "Rice blast disease: hopes for control." Medium. A Medium Corporation, 21 Oct 2014. Web. 18 Mar. 2016. (https://medium.com/@plantvillage/rice-blast-disease-hopes-for-control-910655049d10#.uvjor2yqq)

Contact

For additional information please contact:

Cristiano Veloso  
President & Chief Executive Officer
Tel: +55 (31) 3245 0205
Email: cv@verdepotash.com
www.verdepotash.com

Iwona Zakrzewski
VP Investor Relations & Corporate Secretary
Tel: +1 (416) 844-7337
Email: iz@verdepotash.com