Wedoany.com Report-Sept. 4, Canada-based Sage Potash has secured a $14 million (C$19.32m) grant from the US Department of Agriculture (USDA) to advance its Sage Plain Potash Project in the Paradox Basin, Utah. The funding, facilitated through Sage Potash (USA), is part of broader financial support for the project, which aims to produce 300,000 tonnes per annum (tpa) of potash.

The USDA approved the grant under its Fertilizer Product Expansion Program.

The grant is provided under the USDA’s Fertilizer Product Expansion Program, designed to enhance domestic fertilizer production and availability. Potash, a key nutrient for plant growth, is critical for global food security, and over 90% of potash used in the US is currently imported from regions including Canada, the former Soviet Union, and the Middle East.

Sage Potash is progressing with the necessary permitting and conducting a Preliminary Economic Assessment (PEA), supported by RESPEC, experts in potash deposits and mine development. The PEA includes third-party reviews of economic projections, cost analyses, and summaries of cultural, environmental, and ecological studies conducted to date. The studies indicate that no mitigation measures are required, and the company expects to complete the final PEA by the end of Q3 2025.

In May 2025, potash was designated a critical mineral under a US Executive Order, and it was added to the draft list by the Department of the Interior and US Geological Survey in August 2025. This designation provides strategic advantages, including access to federal funding and potential tax credits for domestic production initiatives.

Sage Potash CEO Peter Hogendoorn said: “Sage applauds the US Federal administration’s decision to add potash to the critical mineral list and is grateful for the USDA grant. With this support, we are well positioned to help grow domestic potash production, derisk the foreign supply chain for American farmers and create long-term value for our shareholders.”

The Sage Plain Project has identified mineral resources within the Upper and Lower Potash Beds, Cycle 18. Inferred resources in the Upper Bed are 159.3 million tonnes (mt) with grades of 26.96% potassium oxide (K2O)/42.67% potassium chloride (KCl), while the Lower Bed contains 120.2 mt grading 22.60% K2O/35.77% KCl.

Seismic surveys indicate continuous, flat-lying potash beds with minimal faulting at an average depth of approximately 2,130 meters. Geological conditions are favourable for solution mining, with optimal formation temperatures recorded at 68°C, which support efficient extraction.

The USDA grant and critical mineral designation together strengthen Sage Potash’s ability to advance the Sage Plain Project, enhance domestic potash production, and contribute to securing reliable fertilizer supply for US agriculture. The project combines resource quality, favourable geology, and federal support to position the company for long-term operational and economic success.

Overall, the Sage Plain Potash Project represents a strategic step toward increasing domestic fertilizer production, reducing dependence on imports, and supporting sustainable agriculture in the US.