The Energy Report

Brien Lundin, Gold Newsletter (Jefferson Financial) (5/1/14) "Arianne Phosphate Inc. has divested two non-core assets to Virginia Mines Inc. . .the deal was valued at approximately $180K and will allow Arianne to focus its full attention on getting Lac à Paul, its large, high-grade phosphate deposit, into production. . .I continue to like this company as a development-stage play on phosphate and the world's ever expanding need for more food."

The Energy Report Interview with Michael Berry (4/17/14) "There's an advanced phosphate developer in Quebec that I like called Arianne Phosphate Inc. It currently has an NI 43-101 feasibility study completed. Arianne has a very high-grade phosphate deposit at Lac à Paul in Quebec. The feasibility study shows a 25-year mine life with annual production of 3 million tonnes of phosphate concentrate with a grade of 38.6% P2O5. There are many zones still to explore that will expand the resource. The feasibility study shows that after beneficiation, the resource will provide among the highest P2O5 grades in the world. I think the company is an attractive takeover target given its location in Quebec, the vertical integration of the phosphate market and the very strong economics of the project.

[Permitting] should be a very important catalyst. The stock went up to CA$1.69, and it's backed off to CA$1.15. I think it's way too cheap right now. I think it's a stock that you want to own now. It's a big resource of 590 Mt of 7.13% Measured and Indicated ore. I don't think it will have any major problems on the permitting side. The one area it's going to have to deal with is the capitalization of the project. It may require a capex of $1.21 billion. On the other hand, it certainly has a really strong following, with a very low estimated production cost of $93.70 per tonne. The average selling price will likely be around $200 per tonne. This is a wonderful margin. Furthermore, it's a commodity that is relatively scarce in North America." More >

The Investment Doctor, Seeking Alpha (3/17/14) "Arianne Phosphate Inc. owns the only advanced stage phosphate project in Canada. Canada and the U.S. are net importers of phosphate, so the company is in an excellent position. . .the mine life could easily be extended by at least another decade, emphasizing the long-term potential of this asset. . .I strongly believe 2014 will be a pivotal year for the company as it expects to finalize the final permitting steps and start to secure funding for the Lac à Paul project."

Brian Ostroff, Windermere Capital (3/8/14) "There have been a lot of good reasons to own Arianne Phosphate Inc. . .the prospect to grow the asset, the high quality of the phosphate it produces, the location of the asset and the high-quality team associated with the company have culminated in a very positive feasibility study. . .the company's Lac à Paul deposit along is worth roughly $2B and yet its stock currently trades at a $100M market cap. . .arguably, this is the best macro environment that Arianne has ever faced so, to use [an] agricultural saying: When the sun is shining. . ."

Brien Lundin, Gold Newsletter (Jefferson Financial) (3/1/14) "The ore type at Arianne Phosphate Inc.'s Lac a Paul project will, once processed, generate a phosphate concentrate significantly richer than the market standard. This fact, along with the project's very appealing economics, continues to make the company an attractive long-term play on the planet's ever-growing demand for food."

The Energy Report Interview with Bob Moriarty (2/13/14) "Arianne Phosphate Inc. in Canada has the largest, undeveloped phosphate project in the world. Its market cap is 5% of NPV. In this space, takeovers are generally done at 35–50% of NPV. This is a stock that could go up seven to tenfold, based on today's prices." More >

Chris Berry, Disruptive Discoveries Journal (1/31/14) "The overwhelming investment proposition for Arianne Phosphate Inc. is security of supply. It is this secure supply of high-quality phosphate rock that will become increasingly important to end users. . .the company is substantially derisked based on a published bankable feasibility study demonstrating strong economics, a sound balance sheet, strong insider and institutional holders and a deposit in a favorable jurisdiction."

Bob Moriarty, 321 Gold (1/22/14) "The only thing holding Arianne Phosphate Inc. back is the overhang of 4M shares. When we pass February 1, the overhang is gone and it would be perfectly natural for the shares to roar higher. The company is a takeover target. Typically with phosphate companies, takeover offers are in the .35% to .5% range. That means $7 to $10.50 a share. You don't get this kind of opportunity often. It may be on sale now but it won’t be for long."

The Mining Report Interview with Amanda Van Dyke (1/21/14) "I'm quite fond of Arianne Phosphate Inc. It has a beautiful deposit in Quebec, a fully bankable feasibility study and a good IRR in a safe jurisdiction. We don't know when Lac à Paul will be green-lighted, but it is a great long-term investment. I have no doubt that eventually it be a significant part of the phosphate mix in North America." More >

Brien Lundin, Gold Newsletter (Jefferson Financial) (12/19/13) "Arianne Phosphate Inc. released the feasibility study on its Lac a Paul project. . .given the size and high grade of the phosphate rock at Lac a Paul, I anticipated that the numbers would be good and that the company's share price would spike as a result. Both those predictions proved accurate. .as its management team moves this high-profile phosphate project towards production, the market is eventually going to wake up to the fact that Arianne is sitting on a gold mine here (OK, a phosphate mine)."

Jay Taylor, Gold, Energy & Tech Stocks (12/13/13) "I continue to believe Arianne Phosphate Inc.'s phosphate mine in Quebec is not being given the respect it deserves. With phosphate shortages taking shape around the world, it seems very likely to me that one and hopefully two or three of the major fertilizer companies will view this as a must-have asset."

Chris Berry, Disruptive Discoveries Journal (12/13/13) "A supply of phosphate from a geopolitically stable part of the world will become increasingly important against the backdrop of shrinking arable land and growing populations. One example is Arianne Phosphate Inc., which is developing a high-grade phosphate deposit in Quebec; the project is substantially derisked to the point of having a prefeasibility study published demonstrating strong economics."

The Gold Report Interview with James West (12/11/13) "Arianne Phosphate Inc. is currently the subject of takeover talks. The company just came out with a $2 billion net present value on its Lac à Paul deposit. I'm forecasting a takeout price of $8–11/share. It's currently trading at $1.60/share." More >

Bob Moriarty, 321 Gold (11/30/13) "For those who still hate gold and silver, Arianne Phosphate Inc. is an excellent option. The company released an NI 43-101 about two weeks ago showing a NPV of $1.9B. For a company with a market cap of $120M, that isn't going to last all that long."

Engineering and Mining Journal (11/5/13) "Arianne Phosphate Inc.'s property is an example of innovative partnerships with engineering and finance players to maximize operational value. For its bankable feasibility study, started in August 2012, the company enlisted the engineering expertise of Cegertec WorleyParsons."

Resource Investing News Interview with Brian Ostroff (11/5/13) "Arianne Phosphate Inc. has been gifted with an igneous deposit. . .the company is able to produce a 39% phosphate concentrate which sells at a very premium price. . .as for the right location, it's perfect. . .here is this deposit in Quebec that makes a very pure concentrate, it has a very large resource, close to infrastructure including a deep-sea port right in the heart of where there is a shortage. It is also in a good jurisdiction when it comes to permitting, social acceptance, familiarity with mining and sourcing of investment. . .a lot of people throw around the word 'world class,' but this asset is just that."

James West, Midas Letter (10/29/13) "Arianne Phosphate Inc. is a company that certainly bears having a closer look at now. . .I believe there is growing impetus from shareholders seeking to monetize their investment sooner rather than later. This could be accomplished by putting the company into play and selling it to either Agrium Inc. or The Mosaic Co. or some other major player in the space."

John Chu, Alta Corp Capital (10/28/13) "Arianne Phosphate Inc. released the highlights for the feasibility study (FS) on its Lac à Paul phosphate rock project. . .highlights from the FS include robust economics: an NPV of $1.9B based on an 8% discount rate. This results in an internal rate of return of 20.7% and a payback period of 4.4 years. . .with the company reaching a key milestone, we believe this makes it more attractive to potential strategic partners."

Anoop Prihar, GMP Securities (10/28/13) "On Oct. 24, Arianne Phosphate Inc. released its feasibility study for the Lac à Paul phosphate concentrate project. . .the study suggests that Lac à Paul has the potential to produce 3 Mtp/year 0.6% P2O5 concentrate. This would be amongst the highest-grade phosphate concentrates produced globally. . .we believe potentially significant valuation upside does exist."

Thibaut Lepouttre, Caesars Report (10/28/13) "Arianne Phosphate Inc. has announced the results of the feasibility study on its fully owned Lac à Paul phosphate project in Québec, Canada. This is the first time the additional resources are incorporated in the mine plan and the mine life has increased from 17 years to almost 26 years. . .as the U.S. and Canada are net importers of phosphate, we can imagine large fertilizer producers such as Mosaic Co. or Agrium Inc. might be very interested in a source of premium quality phosphate in Canada and could be willing to provide financing for the project in return for a (minority) stake in Lac à Paul."

Bob Moriarty, 321 Gold (10/28/13) "Arianne Phosphate Inc.'s bankable feasibility study is a giant step forward; it removes most of the financial uncertainty that a major phosphate company would want removed before taking a run at the company. The numbers are beyond incredible. You will see projects with longer lifetime or lower capex or a higher internal rate of return, but never in your life will you see a company with a resource of this quality in a politically safe country selling for 6% of its NPV."

Robert Winslow, National Bank Financial (10/27/13) "Arianne Phosphate Inc.'s bankable feasibility study for its high-grade Lac à Paul phosphate project is a partial derisking event. . .project capacity is still 3 Mtp/year 38%+ P2O5 concentrate for an ~26-year life of mine. The project economics remain attractive, with an after-tax internal rate of return estimated near 17%."

Brien Lundin, Gold Newsletter (Jefferson Financial) (10/24/13) "Arianne Phosphate Inc. is a solid long-term play on population growth and the increasing food demand that comes with it. . .the deposits on the company’s Lac à Paul are capable of producing a concentrate with a higher percentage of phosphate than the typical deposit in Morocco (or most otherlocales, for that matter). . .the key development for Arianne is its feasibility study for Lac à Paul. . .the report is expected to be positive."

The Gold Report Interview with Brian Ostroff (10/2/13) "The largest holding in our fund is Arianne Phosphate Inc. Since we last talked, the company has been very busy. Additional drilling has tripled the resource in just its Lac à Paul pit. It now has 750 Mt phosphate rock grading a little over 7%. That makes it the biggest undeveloped phosphate asset in the world. It is a unique deposit. Ninety percent of the world's phosphate deposits are sedimentary, which often has a higher in situ grade, but cannot be turned into as high of concentrate grade. Sedimentary deposits, such as those in Morocco or in Florida where Mosaic has most of its production, also tend to include contaminants like uranium, thorium and cadmium, which pose environmental issues. Arianne has an igneous deposit, similar to several Russian deposits. Although a lower grade in situ, it can make a very pure concentrate. Arianne's metallurgical tests show it produces a 39% concentrate. That gives it roughly 30% more phosphate content than a typical Moroccan style concentrate.

". . .In addition to tripling its resource and confirming its metallurgy, Arianne has made some additions to its board and management; these are some pretty serious guys. Steven Pinney was former head of fertilizers at Cargill and then senior vice president of phosphates at The Mosaic Co. Dominique Bouchard was the president of Rio Tinto Iron Ore and Titanium. Dominique has a great understanding of bulk commodities and how to transport them. Brian Kenny, a seasoned mine builder, joined as CEO. He built Falconbridge Ltd.'s New Caledonia mine and spent the last few years in the Middle East with Dubai Aluminium Co. Ltd. . .Pierre Fitzgibbon, who has held very senior positions with National Bank and sat on the board of the Caisse de Depot et Placement du Quebec. . .the company will put out its bankable feasibility study (BFS) sometime around mid- to late October. That will tell a lot. A prefeasibility study released a year-and-a-half ago estimated a capital expense (capex) of about $800M to build a mine. In my experience, it is not uncommon for a BFS to see a 50% increase." More >

Brien Lundin, Gold Newsletter (Jefferson Financial) (9/26/13) "I am recommending Arianne Phosphate Inc. at this time because this company has the right resource at the right time and in the right location. . .with Arianne's Lac à Paul project on the verge of having a feasibility study generated for it, now is the perfect time to get positioned in this potential takeout target. . .it's a Strong Buy at these trading levels."

Brien Lundin, Gold Newsletter (Jefferson Financial) (9/20/13) "Arianne Phosphate Inc. is a company that seems to have the right resource at the right time and in the right location. . .with the company's Lac á Paul project on the verge of having a feasibility study completed, perhaps within a few weeks, now is the perfect time to get positioned in this potential takeout target. If the numbers come in like I expect on the feasibility study, the project will show the ability to generate 3 Mmt of phosphate concentrate per year for 25 years. . .add in proximity to power and an available port just 300km away, and you have all the makings of a project that can easily get greenlighted even in the current environment."

James West, Midas Letter (9/8/13) "Arianne Phosphate Inc. has accomplished a number of notable goals this year, including changing its name from Arianne Resources Inc. to to reflect its single-project commitment and hiring Brian Kenny as CEO, who is a seasoned project development executive. . .with all the buzz, it just might be the takeover target of the year."

Anoop Prihar, GMP Securities (7/3/13) "On June 26, 2013, Arianne Phosphate Inc. announced that Brian Kenny would succeed the retiring Bernard Lapointe as CEO effective July 3, 2013. Mr. Kenny has 30+ years of experience in the mining and engineering sectors. . .we view the recent personnel additions as positive, as the accumulated experience of the individuals should aid in the ongoing derisking of the Lac à Paul project. . .not only does Lac à Paul have the potential to become a 3 Mtpa open-pit phosphate mine, but the 39% P2O5 concentrate would be among the highest quality phosphate concentrates produced globally."

Carolyn Dennis, Dundee Capital Markets (3/13/13) "We are initiating coverage of Arianne Phospate Inc. with a Buy rating. . .the company is developing its 100%-owned Lac à Paul project in Quebec. . .initial metallurgical tests indicate high-grade concentrate and high recovery. . .Arianne should benefit from existing infrastructure and is ~300km by road to the Saguenay Port, allowing access to international markets, notably Europe."