Earthrenew (CSE:ERTH) and its subsidiary, Replenish Nutrients, received over CAD$162,000 non-dilutive financing from Canadian Agriculture Partnership’s (CAP) value-added program.
The CAP is a five year, CAD$3 billion federal-provincial-territorial investment in the agriculture sector that started in April, 2018. It represents a federal-provincial investment of $406 million in strategic Alberta-based programs and initiatives for the sector.
“We are pleased to receive this funding from the Canadian Agriculture Partnership. The funding supports and validates the importance of regenerative agriculture adoption across Canada. The Beiseker facility is used as a pilot facility to demonstrate and refine processing technology for larger sites,” said Gerald Philpott, executive vice president of corporate development at Replenish Nutrients.
Replenish Nutrients is an agritech company involved in producing regenerative fertilizer solutions to support farms and farmers by putting healthy soil and grower profitability front and centre. The company combines Canadian-sourced nutrients with the company’s delivery system, and has developed a sustainable alternative to synthetic fertilizers that improves soil function and biology while providing valuable plant-available nutrients farmers need to grow healthy crops.
The company is increasing the number of blending sites from two to seven and moving those sites closer to customers to meet with customer demand, and help support gross margins by reducing transportation and handling costs. Replenish will improve its distribution by relying on drop points in high demand regions and reduce delivery time.
The increase in blending sites will also help increase the volume of fertilizer the company can deliver, which will help the company meet the enhanced demand for fertilizers coming this season as it moves towards its target of 200 per cent year over year sales growth.
“Where we once housed most of our inventory at one central location, now we are increasing the number of hubs. We believe this will improve our efficiency in delivering to our partners and customers while enabling us to move a larger volume of product,” said Wade Egeland, Replenish Nutrients’ manager of operations and logistics.
The next move for Replenish Nutrients involves expanding its business beyond Western Canada, and it has secured a grant from the Alberta export expansion program towards this end. The company has met and will continue to meet with prospective site, distribution and sales partners, including attending events at the recent Healthy Soil Summit in Sacramento, Calif.,, but also as the coming Fertilizer AgriTech Forum in Dallas, Tex.
