Brazil Potash Estimates Up to ~$94 Million in Potential Brazil Government Tax Savings Following SUFRAMA Registration

 

Source:  Brazil Potash Corp. 12/16/2025

• Company receives official SUFRAMA registration, enabling access to federal tax incentives
• Milestone demonstrates strong Brazil federal government support and de-risks key project assumptions

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.