|By Marketwired .||
|July 14, 2014 05:01 PM EDT||
TORONTO, ONTARIO -- (Marketwired) -- 07/14/14 -- Dundee Corporation (TSX: DC.A) is pleased to announce that its approximately 86% controlled subsidiary, Dundee Sustainable Technologies Inc. ("DST" or the "Corporation") (CSE: DST), the developer and owner of proprietary technologies to serve the natural resource sector with environmentally friendly procedures, is announcing its commitment in the fertilizer business.
DST has obtained patents for the production of sulfate based fertilizers. These processes are providing a new way to the industry of producing potassium sulfate ("SOP" or K2S04) and potassium magnesium sulfate ("SOPM" or K2SO4.2MgSO4). Both products are accompanied by the production of salable hydrochloric acid as a by-product.
Sulfate based fertilizers are applied at sowing time, where ions are adsorbed in the soil and remain available and protected against leaching. The growing need to do more with less, and the sulfur deficiency in particular crops have led to an increase use of sulfate based fertilizers, while excess use of chloride based fertilizers (potassium chloride or "potash") reduces nutrient uptake and yield quantities, water soluble sulfate fertilizers such as SOP and SOPM are the most effective for growing crops.
The growing market for sulfate based fertilizers along with depleting natural sources of chloride-free potassium creates a great opportunity for DST to develop its patented processes.
DST has analyzed a project to build a plant for the production of SOP using potash and sulfuric acid. Moreover, DST has received interest from a North American distributor that is ready to market the production of 50,000 tonnes per year of SOPM and could also be interested in SOP.
The current market conditions and specific demands from the fertilizer market are opening a window of opportunities to launch projects that would lead to the construction of fertilizer plants. DST's technology allows for SOP and SOPM to be produced below current market price with profit margins preliminary estimated at $410 per tonne for SOP and $225 per tonne for SOPM.
The National Research Council of Canada granted DST a $50,000 subsidy for the assessment of its fertilizer technology.
About Dundee Sustainable Technologies, a company controlled by Dundee Corporation
The cyanide and mercury free gold extraction process developed by DST, has been recognized as a "green technology" for which DST has been awarded $5,700,000 in grants to date for a demonstration plant, presently under construction in Thetford Mines Quebec of which $700,000 has been provided by the Government of Quebec and $5,000,000 by the Government of Canada through the Sustainable Development Technology Fund. The plant is scheduled to go into operation in mid-January 2015.
Over the last ten years DST has tested over 50 different gold deposits, both oxide and sulfide ores at the lab level and at its pilot plant. These tests have, consistently achieved gold recoveries in excess of 90%, using chlorination instead of cyanide. In addition, the tailings from the process are inert from toxic substances and as result meet environmental norms. An engineering study completed within the last 12 months supports DST's claim of having operated a pilot plant showing a gold extraction yield higher than 90% using a closed-circuit chlorination process.
ABOUT DUNDEE CORPORATION
Dundee is a public Canadian independent holding company listed on the Toronto Stock Exchange under the symbol "DC.A". Through its operating subsidiaries, including its newly created London-based Merchant Bank, Dundee is engaged in diverse business activities in the areas of its core competencies including investment advisory and corporate finance, energy, resources, agriculture, real estate and infrastructure. Dundee also holds, directly and indirectly, a portfolio of investments mostly in these core focus areas, as well as other select investments in both publicly listed and private companies.
FORWARD LOOKING STATEMENTS: This press release contains forward-looking statements that address future events and conditions, which are subject to various risks and uncertainties. Actual results could differ materially from those anticipated in such forward- looking statements as a result of numerous factors, some of which may be beyond the Corporation's control. These factors include: results of exploration activities, general market and industry conditions, and other risks disclosed in the Corporation's filings with Canadian Securities Regulators.
Forward-looking statements are based on the expectations and opinions of the Corporation's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Corporation expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law. Depending on exploration results and available financing, the Corporation may at any point modify its work program.
The Canadian Securities Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.
President and Chief Executive Officer