Karnalyte Gets Major Financing for Saskatchewan Potash Mine

Source: Kip Keen, Mineweb (12/1/11)

"Karnalyte Resources secured what amounts to a hefty down payment in a bid to finance construction of its Wynyard potash project in Saskatchewan and become Canada's next potash producer."

Karnalyte Resources (TSX:KRN) secured what amounts to a hefty down payment in a bid to finance construction of its Wynyard potash project in Saskatchewan and become Canada's next potash producer. Karnalyte announced Tuesday evening it had arranged bought-deal financing led by BMO Capital Markets that would bring in at least CA$115M.

Karnalyte said it would issue 8.65M shares @ CA$13.30 and give BMO and other institutions taking part in the financing a 15% overallotment, which if subscribed to means Karnalyte could reap up to CA$132M.

Combined with $37M in cash on hand that Karnalyte reported as of the end of September, the influx of cash would cover about a quarter of initial capital costs to build Wynyard.

In a recent feasibility study Karnalyte pegged start-up costs for a 625,000 tonne a year solution mine at C$593 million. Karnalyte then plans to scale Wynyard up to over 2 Mt a year for total capital cost of about CA$2B.

Mackie Research analyst Jaret Anderson suggested the funds would go a ways toward getting ground broken at Wynyard.

"This financing removes a major obstacle for any greenfield potash project by providing a sizeable chunk of the capital required for the construction of the initial phase of Wynyard," Anderson said in a research note to clients Wednesday morning. "While additional capital will be required in order to complete construction (scheduled to begin in Q112 with production targeted for early 2014), this initial tranche, combined with the $37M cash on hand and debt financing, likely carries the company through at least 2012."

Mineweb

Life Sciences Co. Receives Large Livestock Feed Order from New Client in Mexico
Source: Streetwise Reports (01/27/2021)

Avivagen Inc. reported it has secured a six tonne order for OxC-beta™ Livestock from a new customer in Queretaro City, Mexico.

Intrepid Shares Grow 40% on Positive Upward Trend for 2021 Trio and Potash Prices
Source: Streetwise Reports (12/31/2020)

Shares of Intrepid Potash Inc. sprouted to a new 52-week high after the company reported that it anticipates greater demand and higher prices for its Trio® and potash products in 2021.

Life Sciences Firm Reports Year of Record Breaking Orders
Source: Streetwise Reports (12/18/2020)

Avivagen Inc. reported FY/20 audited financial results that included a 20.5% increase in YoY revenue.

Surging Agricultural Prices, $17 Trillion and Phosphate
Source: Brian Ostroff for Streetwise Reports (11/23/2020)

Brian Ostroff, managing director at Windermere Capital and CEO of Arianne Phosphate, discusses the recent rise in agricultural commodity prices and their spillover into fertilizers.

Note to Fed: Be Careful What You Wish For
Source: Michael Ballanger for Streetwise Reports (11/23/2020)

Sector expert Michael Ballanger examines the charts for commodities like soybeans and the components used in handheld electronic devices, and reflects on what they say about the future prospects of those who hold mortgages and invest in precious metals.

Large Scale Automation Comes to Cannabis
Source: Keith Schaefer for Streetwise Reports (11/02/2020)

Keith Schaefer, the Investing Whisperer, offers his analysis of the investment proposition offered by Icanic Brands, and how its ability to generate up to 1,000 pre-rolls per hour could dramatically affect the company's bottom line.

Life Sciences Firm Lands Record 4 Metric Tons Order for Antibiotic-Free Feedstock
Source: Streetwise Reports (10/14/2020)

Avivagen Inc. reported that it has received a record purchase order for its OxC-beta™ product from UNAHCO.

Life Sciences Company Posts Record Q3 Revenue Due to Successful Recurring Purchase Model
Source: Streetwise Reports (09/09/2020)

Avivagen Inc. reported unaudited financial results for Q3/20 that included record revenue and product sales volumes that nearly eclipsed FY/19 levels.

Life Sciences Company Registers First Non-Antibiotic Livestock Feed Additive Sale in Brazil
Source: Streetwise Reports (08/12/2020)

Avivagen Inc. reported it achieved its first sale of OxC-beta™ Livestock in Brazil, the world's third largest livestock feed market.

August Approaches: Accumulation, Conversation and the Promise of Silver
Source: Michael Ballanger for Streetwise Reports (07/20/2020)

In this week's advisory, sector expert Michael Ballanger reviews the most recent market news, celebrates old-school communication techniques and offers strategies for investing in the dog days of summer.