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First Phosphate ($PHOS | $FRSPF) CEO on Advancing Its Quebec Phosphate Project

Investor TV Aug 27, 2026

Summary

First Phosphate could supply up to 350 GWh of LFP battery feedstock from a single Quebec igneous phosphate deposit, management says.

Updated indicated resources grew 378% in this week's mineral resource estimate, supporting a project NPV of $2.1B and IRR of 37%.

The guest argues phosphate, not lithium, is the overlooked choke point for North American LFP cathode supply.

The project is one of just three North American igneous phosphate deposits; Agnico Eagle recently acquired a second via Martison.

Management ties near-total Chinese LFP dominance to broader US bond and currency fragility, framing critical minerals as a hedging play.

Key points on Agnico Eagle Mines

  • The guest reports Agnico Eagle recently acquired Martison (formerly Fox River), an igneous carbonatite phosphate project, for roughly $94 million Canadian, framing it as the miner's move into the phosphate market via its Avenir division.

Don Durrett's takeaways

  • Top takeaway Durrett presses the CEO on LFP fire safety versus NMC batteries, on whether solid-state still has a charging edge, and on the projected ~$250M/year cash flow around 2028, while highlighting that the CEO takes 100% of pay in RSUs/shares as shareholder alignment.
  • In his closing he argues US equity-market fragility makes critical-mineral equities like First Phosphate a defensive picks-and-shovels bet, warning that China could cut LFP battery exports entirely — a scenario he calls a 'complete cut-off' — and frames tariffs and gold's rise as symptoms of the US debt problem.

John Passalacqua's takeaways

  • Top takeaway Passalacqua argues phosphate is the real LFP choke point: the cathode is 60% phosphate versus only 4% lithium, and Western purified phosphoric acid supply (drawn from sedimentary rock usable mainly for fertilizer) is already forecast by CRU Group to fall short of traditional demand by 2035 — let alone LFP demand CRU says will nearly double, while Benchmark Minerals cites 8-10x growth.
  • He positions First Phosphate's igneous anorthosite in Saguenay-Lac-Saint-Jean, Quebec as one of only four igneous phosphate zones worldwide (the others being Northern Europe, Russia, Southern Africa, Brazil) and one of only three North American igneous developers — and the only one 100% dedicated to LFP batteries and closest to deep-water port.
  • He emphasizes the supply-chain argument: roughly 98-99% of LFP battery production sits in China, China has restricted LFP technology exports since the October 2025 Xi-Trump spat (even though LFP was invented in North America around 2001), and the company has demonstrated a 150-cell, 2,000-cycle North-American LFP build with Prayon, Hoganus, Century Lithium, Nouveau Monde Graphite and Altium.
  • He highlights governance and capital structure: debt-free, $80M self-raised, NASDAQ ADR listing this month, board and management paid in shares, ~20% insider / ~40% high-net-worth ownership, and Indigenous collaboration plus Canadian and Quebec government support including fast-track status.
  • He argues the project is a 'picks and shovels' play on the electron economy — with EVs only ~14% of LFP demand — driven by solar/storage and AI data center power-conditioning needs, and cites a forthcoming Q1 2027 feasibility study, mid-2027 permitting, and end-2027 investment decision with 40-50% of capex already spoken for by sovereigns.