Agrium Subsidiary to Operate Industrial Grade PPA Unit

Business Wire, Oct 25, 1999

SODA SPRINGS, Idaho--(BUSINESS WIRE)--Oct. 25, 1999--

Agrium (TSE:AGU.) (NYSE:AGU)

Nu-West Industries Inc., a wholly-owned subsidiary of Agrium Inc., today announced it will lease and operate an industrial grade purified phosphoric acid (PPA) unit to be built by FMC Corporation in Nu-West's Conda phosphate fertilizer complex near Soda Springs, Idaho. FMC will purchase the PPA under a long term supply agreement.

Agrium's investment in the project will be about $30 million over the next two years. The project will include the installation of state of the art pollution control systems, which will significantly reduce total atmospheric emissions from the Conda site.

"This project will permit us to open a new industrial market for the Conda plant, one which will complement our traditional agricultural markets," said Agrium Executive Vice President and COO Bill Robertson. "This is another example of how Agrium's ongoing search for new products and markets can build value for our shareholders. It will also significantly improve the working environment for our employees."

Engineering and permitting work is underway and some site preparation will begin this fall according to Don LaRue, Conda plant manager. The impact of the project on overall employment at the Conda facility has yet to be determined.

The project is scheduled to be completed in mid-2001.

Agrium Inc. is a leading producer and marketer of fertilizer in North America and a major retail supplier of agricultural products and services in both North America and Argentina. The Corporation produces and markets four primary groups of fertilizers: nitrogen, phosphate, potash and sulphur. The Corporation's strategy is to grow through incremental expansion of its existing operations and acquisitions as well as the development, commercialization and marketing of new products and international opportunities.