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- Building on revenue growth from the past year, EarthRenew has expanded its pilot facility in Beiseker, Alberta into a full-scale granulation facility capable of producing an additional 16,000 MT/year of fertilizer production, allowing 20,000 MT/year production
- The expansion of the Beiseker facility will supplement the previous capacity for granulated fertilizer production as well as capacity for blended product enabling higher revenue growth for the coming year.
- The ability to granulate the product allows the Company to fulfill its mission of improving on-farm ROI, accessing new market channels and increasing margin on its products.
- EarthRenew, which supports a farm system focused on soil health, has secured off-take agreements with trusted local and international partners to place this additional volume as well as to support off-take from the planned project with K+S in Bethune, SK
CALGARY, Alberta, Feb. 01, 2022 (GLOBE NEWSWIRE) -- EarthRenew, (CSE: ERTH; OTCQB: VVIVF; Frankfurt: WIMN) ("EarthRenew" or the "Company") an ESG company focused on agriculture and soil health, is excited to announce commissioning of its expanded manufacturing facility in Beiseker, Alberta. Following substantial investment in equipment upgrades, the agronomic input company turned a pilot R&D facility into a full-scale granulation facility. The facility can now produce over 20,000 MT of high-quality regenerative fertilizer and an additional 46,000 MT of blended product.
EarthRenew previously announced revenue from regenerative fertilizer of $14 million for the period of January to December 2021, an increase of 106% over 2020, and can now leverage the expanded facility to maintain that growth trajectory into 2022.
Science has proven time and again that the overuse of chemical fertilizers depletes the soil of essential nutrients and kills off essential bacteria and fungi that create organic matter essential to plants. As such, natural fertilizer alternatives are in high demand. The facility enhancements ensure the Company is poised to supply this increased demand and represent a milestone of achievement, the next of which is a much larger facility at the proposed K+S site in Bethune, Saskatchewan where production is targeted at 200,000 MT/year.
Kevin Erickson, head of production and manufacturing for Replenish Nutrients, stated, "The commissioning of our upgraded Beiseker facility is the culmination of years' worth of effort establishing the validity of our product and ensuring our ability to produce a product that is in high demand."
The ability to granulate the product allows EarthRenew to fulfill its mission of improving on-farm ROI and extends its reach to a broader customer base. Up to now, the Company has manufactured a blended version of its product line, which requires specialized spreading equipment to apply to the field.
But the 11-acre manufacturing plant north of Calgary is only the start of the company's proven business model.
"With the achievement of this milestone, we are positioned to repeat our success in other markets, installing this manufacturing module in strategic locations close to our growing list of customers," added CEO Keith Driver.
EarthRenew has secured offtake agreements with CoreAg Inputs, an Alberta-based distributor, as well as P&H, a storied Canadian retailer. As trusted agriculture retailers, these partnerships ensure the increase in production gets into the hands of producers who are seeking alternatives to conventional fertilizers. Additionally, EarthRenew has already tasked its flagship US partner, Torgersons, with expansion efforts throughout the US market. Establishment of these relationships provides capacity for offtake as the Company continues to scale its operations.
EarthRenew's wholly-owned subsidiary, Replenish Nutrients, secured expansion of its previously announced current senior secured asset-based credit facilities in the amount of $0.7 million for a total facility of $3.9 million (collectively, the "ABL Facility") from Agriculture Financial Services Corporation for capital expenditures related to the Beiseker facility.
About EarthRenew
EarthRenew is passionate about supporting a farm system that puts healthy soils and grower profitability back on the table. By upcycling naturally sourced nutrients into high-value crop inputs, we've built an innovative platform of regenerative fertilizers under the Replenish Nutrients brand. Regenerative fertilizers enhance soil health and biology while providing valuable, sustainable, plant-available nutrients farmers rely upon for healthy crops. Farmers benefit with improved ROI and a natural alternative to conventional products.
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Media Contact: Lauren Gilmore
lauren@prandprose.com