Compass Minerals Announces Equity Investment Partnership with Koch Minerals & Trading

Koch Minerals & Trading, LLC (KM&T) has agreed to make a US$252 million strategic equity investment in Compass Minerals through the purchase of common stock of Compass Minerals.

KM&T, a diversified global trading, logistics and investment company, and subsidiary of Koch Industries, Inc. (KII), is making the investment to support phase one development of the previously identified $2.4 million resource tons of lithium carbonate equivalent (LCE) from Compass Minerals on the Great Salt Lake.

“We are delighted to welcome KM&T as an investment partner and look forward to leveraging their deep expertise and proven track record of value creation,” said Kevin S. Crutchfield, President and Chief direction. “Securing funding to aggressively pursue the first phase of our lithium growth opportunity has been an important goal for our management team. This strategic investment will help advance our lithium project, strengthen our balance sheet and improve execution capabilities across our platform.

Approximately US$200 million of the investment proceeds are expected to be used to advance the first phase of the company’s lithium sustainability project. The remaining funds, after all transaction costs, should be used to pay down debt and help align the company’s capital structure with its growth strategy.

As part of the agreement, the companies will also explore opportunities to create value across Compass Minerals’ operating platform by leveraging the extensive capabilities of KII’s many operating subsidiaries, including in the areas of supply and supply of fuel and raw materials, freight and logistics synergies. , and assistance with engineering and project development.

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