Gensource Announces the Signing of an LOI To Create a Vertically Integrated Producer-Marketer Organization with Arizona Agropecuaria LTDA. of Brazil

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[{"type":"text","content":"Gensource Announces the Signing of an LOI To Create a Vertically Integrated Producer-Marketer Organization with Arizona Agropecuaria LTDA. of BrazilSASKATOON, Saskatchewan / ACCESSWIRE / March 17, 2014 / Gensource Potash Corporation (“Gensource” or the “Company”) (TSX.V: GSP) is pleased to announce the completion and execution of a Letter of Intent (“LOI”) with Arizona Agropecuaria Ltda. Filial 2 of Brazil (“Arizona”).\nGensource and Arizona have signed an LOI that provides a framework for the creation of a vertically integrated organization in the potash fertilizer industry – meaning a direct business connection between the producer of potash in Saskatchewan and the end user of the fertilizer. This direct connection means that a potash mine can be optimized to produce specific product for a specific market without the uncertainties of selling the product after it is produced. The LOI is subject to approval by Gensource’s and Arizona’s respective boards of directors. \nGensource’s business plan clearly identifies “Access to Market”, or vertical integration, as a requirement to enter the potash industry, and the signing of this LOI supports that requirement.\n“Gensource is excited to have found a market partner with the forward looking vision of Arizona”, commented Mike Ferguson, President & CEO of Gensource, “Gensource believes that, to be a new producer in the potash market, a coordinated partnership from the mine through to the end market is required. Arizona’s business outlook echoes Gensource’s, making the two companies highly compatible. In the end, our shared goal is to deliver independently produced fertilizer to the agricultural end users at competitive prices.”\nCelso Cravinhos, Executive Director of Arizona Agropecuaria, is quoted as saying “…Arizona Agro has a business model that makes a joint venture, or other structure, very attractive and unique to our customers, the buyers, in a rather large market. This concept virtually assures our success as a supplier. The fact that Brazil is one of the biggest agricultural producing countries in the world and, as such, one of the largest consumers of potash - despite a very limited local production – should help t...

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