Sage Potash receives $14 million from USDA

Sage Potash, a Canadian company set on developing a potash mining project in eastern San Juan County, received a $14 million grant from the United States Department of Agriculture (USDA).
The company says the funding will support the financing strategy for the construction of a 300,000 tonnes-per-year potash project in the Paradox Basin.
The company aims to use directional drilling and solution mining methods to reach suspected high-grade, flat lying potash beds that have previously been too deep for conventional mining methods.
The company  reports it has 10,595 acres of private mineral and surface leases in Eastern San Juan County with eyes also on nearly 14,000 acres of state trust lands.
In a release President and Chief Operating Officer of Sage Potash Tim Mizuno said the grant underscores the importance of increasing domestic potash capacity for american farmers.
“Sage is uniquely positioned to build incremental capacity in-market that is derisked in terms of capital, time to production and execution. This grant brings Sage Potash one step closer to planned production and accelerates partnering and financing efforts”.
Mizuno added that the project is expected to creat 100 well-paying jobs in the county. “and uses proven solution-mining techniques that are expected to improve safety and environmental impacts relative to conventional potash mining,”
The company reports the grant is a significant portion of the expected project costs. 
The company also reports they are advancing permitting and a Preliminary Economic Assessment (PEA) with the support of RESPEC, a leading company in potash deposits and mine development. 
The economic assessment includes third-party review of estimated projected economics, costs and a summary of previously completed cultural, environmental and ecological studies that resulted in no mitigation required. The company anticipates the review will be done before the end of September.
The release from the company says that Potash is a primary nutrient, essential for plant growth and global food security. More than 90 percent of potash consumed in the United States is imported, mostly from Canada, the Former Soviet Union and the Middle East. Following President Trump’s Executive order in May of 2025, potash was added to the draft list of critical minerals for the Department of the Interior and U.S. Geological Survey on August 25, 2025, thereby providing access to Federal funding and tax credit opportunities of Sage Potash.
“Sage applauds the U.S. 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,” Peter Hogendoorn, Chief Executive Officer.  
The USDA grant was approved under the Fertilizer Product Expansion Program that helps to increase the manufacturing and processing of fertilizer and nutrients and their availability in the United States. Certain terms and conditions are attached to receiving the grant and the Company will provide further updates as these conditions are met.