Legacy Project Facts worth knowing about the K+S Legacy Project

November 2015

K+S North America

K+S Group

Source of Growth and Life through Nutrients and Minerals

K+S Group

K+S is one of the world's leading suppliers of specialty and standard fertilizers. K+S is also the world’s largest producer of salt, with sites in Europe as well as North and South America. K+S offers a comprehensive range of goods and services for agriculture, industry and private consumers which provides growth opportunities in virtually every sphere of daily life. We assume active responsibility for the sustained growth of our world. Our more than 14,000 employees display their commitment towards this goal daily – by applying their knowledge and experience.

November 2015 1

K+S Group

Focus on Two Strong Pillars K+S Group

2

Complementary Activities (Revenues 2014: € 158 million; EBIT I 2014: € 24 million) Waste Management & Recycling Animal Hygiene Products Logistics Trading business (CFK)

Revenue / EBIT I in € billion Revenue / EBIT I in € billion

K+S Group Revenues 2014: € 3.8 billion

EBIT I 2014: € 641 million

Potash and Magnesium Products Business Unit Salt Business Unit

2.1 2.3 2.0 1.9 0.74 0.77 0.55 0.48

2011 2012 2013 2014

1.7 1.5 1.8 1.8

0.21 0.06 0.12 0.17

2011 2012 2013 2014

November 2015 2

K+S Group

K+S North America K+S Group

November 2015 3

In 1954, Potash Import & Chemical Corporation (PICC) was established as the U.S. subsidiary of the German company known today as K+S KALI GmbH. To more clearly reflect its role as the North American sales platform for the K+S fertilizer business, PICC officially became K+S North America on January 1, 2008. K+S North America distributes natural mineral fertilizers, industrial salts, ice-melt and health-care product ingredients to agricultural and manufacturing customers throughout the United States, Canada, Central America and the Caribbean. Over the past 50 years, our company has been known for excellence in products and service. As we grow, we will continue to provide our customers with solid solutions to evolving needs.

Fertilizer

Industrial Products

Health Care and Nutrition

K+S Group

28.7%

18.0% 14.8%

8.3% 7.8%

3.0% 3.3%

12.7%

3.4%

Supplier Structure on the World Potash Market 2014 Potash and Magnesium Products

November 2015

Canpotex • Potash Corp • Mosaic • Agrium

ICL • DSW • CPL • Iberpotash .

APC participation of Potash Corp.

SQM participation of Potash Corp.

Others • Intrepid • Vale • Compass • Usbekistan • Laos

China > 20 producers

Uralkali BPC Belaruskali

K+S

Year 2014 Sources : IFA, K+S

World Potash Sales Volumes: 2014: 68.4 million tons 2013: 58.7 million tons

Incl. potassium sulphate and potash grades with lower K2O content

4

K+S Group

K+S fertilizer Portfolio – More than just potash

Product Nutrients (%)

Potash and Magnesium Products

K2O

60

50

30

40

11

MgO

10

6

5

25-27

16

13-15

Na

3

20

S

18

17

5

4

20-22

13

12-13

Mn; Zn

1-4; 0-1

B

0-0.25

0-0.9

November 2015 5

K+S Group

Expansion of Global Presence of K+S

● Expansion of our existing production network with a North American production site

Potash supplier with production on two continents

● Sale and distribution via existing distribution structures of the K+S Group

● Flexible multi-product strategy: - MOP standard pink - MOP granulated pink - KCl 99 granulated

Strengthen Global Presence

Legacy Project

China India Southeast Asia

North America

South America

November 2015 6

K+S Group

Significant Strategic Importance ● Growth Participation in growth of the world

demand ● Production Costs Improved average cash costs Higher share of variable costs

● Substantial extension of average mine life

● Diversification Broad product portfolio Diversified production network and

regional mix ● Specialization High quality industrial products

Located in the Heart of Saskatchewan’s Potash-Rich Basin

Regina

Two additional potash permit areas in the Esterhazy potash region

Southern area of the potash belt of Saskatchewan (Schematic Diagram)

in mln. t KCl % KCl % K2O

Reserves (Proven and Probable Reserves) Legacy Project area 160 29 18

Resources (Inferred and Indicated Resources) Legacy Project area + KLSA 009 981 27 17

Reserves and Resources

The reserves figures were determined in accordance with the requirements of the Canadian standard Nl 43-101 of the “Canadian Securities Regulators”.

Two more potash exploration licences close to Esterhazy

Legacy Project

November 2015 7

K+S Group

0,0

0,5

1,0

1,5

2,0

2,5

3,0

3,5

4,0

2011 '16 '17 '18 '20 '25 '30 '35

Ramp-up Curve

Production capacity in mln. t KCl/a

2.00

0.86

1.14

● Development of infrastructure mainly for Phases 1 + 2, preparations for Phase 3 ● Capacity development + ramp-up of production to 2.0 mln. t KCl/a through primary mining ● Capacity expansion and ramp-up of production by 0.86 to 2.86 mln. t KCl/a

through secondary mining (share of secondary mining in total capacity: 30%) ● Increase in share of secondary mining in total capacity to 50% ● Potential expansion of annual capacity by 1.14 to 4.0 mln. t KCl/a

Phase 1 (Implementation: 2011 to 2017)

Phase 2 (Implementation: 2016 to 2023)

Outlook for Phase 3 (Implementation: 2023 to 2034)

Phase 2 – Development of secondary mining

Phase 1 – Primary mining

Outlook for Phase 3 – Expansion of secondary mining

Legacy Project

November 2015 8

K+S Group

Course of Capex

Phase 2 Phase 1

Capex 2011 to 2022: CAD 4.1 billion* 2023 to 2034: ~ CAD 0.7 billion

Phase 3

Activity Primary mining: Development of first caverns and construction of production and infrastructure facilities

Production capacity after implementation

Development of secondary mining, expansion of production and logistics facilities

as of 2017: 2.00 million tonnes KCl/a

as of 2023: 2.86 million tonnes KCl/a

probably as of 2034: 4.00 million tonnes KCl/a

Further expansion of secondary mining, construction of necessary additional production and logistics facilities

* Approved by the Supervisory Board

Indicative course of investment

Legacy Project

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

November 2015 9

K+S Group

Solution Mining Approach Legacy Project

November 2015 10

1 Pad = 9 Caverns = 18 Wells

K+S Group

Geological Overview

Legacy Project

Reserves / Resources 160 / 982 mln. t KCl product

Depth 1,500 meters

Thickness

K2O / KCl content

Mining technique Solution mining

Environmental Impact Statement

approved for up to 4 mln. t KCl/a

33 meters

18% / 29%

Legacy Project

Patience Lake

Belle Plaine

Esterhazy

November 2015 11

K+S Group

Primary and Secondary Mining

Belle Plaine Seam

Esterhazy Seam

Patience Lake Seam

● Primary mining uses freshwater. The connection of two boreholes to a cavern with the corresponding creation of a surface is initially created by NaCl solution mining below the KCl-rich Esterhazy Seam. The deposit is gradually solution-mined in up to 3 m thick horizontal layers through the three potash seams. This process is controlled vertically by an oil barrier (a thin layer on the surface of the brine).

● During the primary mining process, the cavern expands to create an ideal form for commencing secondary mining.

Primary Mining (Freshwater mining / Vacuum cooling crystallization)

Secondary Mining (NaCl brine mining / Crystallisation in the crystallisation pond) ● Secondary mining exclusively uses a NaCl-saturated brine in order to

selectively dissolve KCl from the walls and roof of the existing caverns.

● In comparison to primary mining, along with a lower energy intensity, secondary mining is substantially more efficient with the use of water.

Legacy Project

November 2015 12

K+S Group

Legacy Project status: On time and budget Legacy Project

November 2015 13

K+S Group

Heading closer to production in 2016 Legacy Project

November 2015 14

Energy supply permanent Gradual Commissioning pads 4 - 7 Build and complete

Northern Tankfarm

Debrining, drying and compaction

Storage buildings

Complete rail line and port facilities ECC ready for production First ton of product

2016

H2 2016

2015

Achievements to date Upcoming tasks

Rail contract signed

Completion of Basic Engineering

Test cavern successfully connected

Port handling contract concluded

Camp fully operational

Pads 2 & 3 commissioned

Complete Detailed Engineering

K+S Group

Overview of the Facility Legacy Project

15 November 2015

K+S Group 16 November 2015

Legacy Project is well-positioned to serve main consumption areas in North America, including cornbelt in premium pricing US market

Enormous interest in potash from Legacy from existing and new customers

Exclusive master supply agreement signed with Koch Fertilizer for marketing of potash fertilizer to customers in the U.S.

Legacy to supply a projected volume of about 0.5 million tons(1) p.a. of granulated potash to Koch Fertilizer

Koch Fertilizer is an indirect, wholly-owned subsidiary of Koch Industries, Inc. One of the world‘s largest producer and

marketer of fertilizers (> 13 million tons)

(1) 500.000 short tons = ~ 450.000 metric tons

Milestone: Supply Agreement with Koch Fertilizer Legacy Project

K+S Group 17 November 2015

We are continually advancing the development of our new potash plant in Canada

Legacy Project

K+S North America

K+S North America 123 North Wacker Drive Chicago, Illinois 60606

Internet: www.ks-northamerica.com

phone: +1 (844) 789-3991

email: sales@ks-northamerica.com