Industry Outlook Forum Kenai Peninsula – Opportunities Abound Kenai Nitrogen Operation (KNO) Restart Project

Operations: –Two urea and ammonia production trains –Tidewater port facility –Power cogeneration facility Daily feedstock requirements (Natural gas) –80 million cubic feet per day (MMCFD) for one production train –155 MMCFD for two train production Operations shut down in 2007 due to lack of natural gas 2 Agrium Kenai Nitrogen Operations (KNO) Location – near Nikiski on the Kenai Peninsula Employment – 264 employees at full, two-train capacity

3 KNO Restart Project Alaska state fiscal incentives have increased gas exploration and development in Cook Inlet area KNO mothballed and maintained to allow for a future safe restart of operations Recent gas discoveries are encouraging Agrium has initiated a project to determine whether a restart of KNO is feasible

4 KNO Restart Project – Critical Risks to a KNO Restart Decision Adequate natural gas reserves at a price to generate positive economics Capital cost refinement – current estimate is approximately $200 million to restart one train with a 30 month engineering and construction schedule Receipt of necessary ADEC environmental permits Local and Government support

5 KNO Restart Project – Actions To Date Discussions with a number of gas producers –Finalize five year contracts for verified gas reserves totaling 80 MMCFD Refining capital cost estimates and construction timeline Submitted PSD permit application and working with ADEC on permit approval Communicating with elected representatives at the Federal, State and Borough level –Government support will be a factor in the restart decision making process

6 KNO Restart Project – Construction Phase Impacts Construction force of approximately 440 workers Approximately $75 million in direct labor income during construction phase Including all multiplier effects (direct, indirect and induced effects) the plant rehabilitation effort will account for an estimated 815 jobs and $110 million in total labor income Source: McDowell Group: The Economic Benefits of Reopening the Agrium Kenai Nitrogen Plant May 2013

7 KNO Restart Project – Production Phase Impacts Direct Impacts Approximately140 permanent, full-time employees –At full production (two train operation), 240 workers will be required Approximately $14 million in annual labor income –Would increase to $24 million with re-commissioning of the second train Agrium employees expected to earn among the highest wages in the Kenai Peninsula Borough Source: McDowell Group: The Economic Benefits of Reopening the Agrium Kenai Nitrogen Plant May 2013

8 KNO Restart Project – Production Phase Impacts Total Impacts Approximately 340 jobs and $30 million in annual labor income for single train (includes direct, indirect and induced employment) At full production (two trains) KNO would generate approximately 600 jobs and $50 million in annual labor income (includes direct, indirect and induced employment) Source: McDowell Group: The Economic Benefits of Reopening the Agrium Kenai Nitrogen Plant May 2013

9 KNO Restart Project – Other Economic Benefits Kenai Peninsula Borough (KPB) Tax Revenue Once one of the largest property taxpayers in the KPB. Re-commissioned facility could make annual property tax payments estimated at $2.2 million, equal to 4% of KPBs current property tax revenue. If the second train were re-commissioned, KNO would likely be the largest property taxpayer in the KPB Source: McDowell Group: The Economic Benefits of Reopening the Agrium Kenai Nitrogen Plant May 2013

KNO employee property and sales taxes All employees are expected to live in the KPB and pay property tax –$242,000 (single train) –$416,000 (two train) Total annual sales tax revenue to the KPB from the KNO workforce* –$265,000 (single train) –$467,000 (two train). 10 KNO Restart Project – Other Economic Benefits Source: McDowell Group: The Economic Benefits of Reopening the Agrium Kenai Nitrogen Plant May 2013 * Does not include sales tax paid to the communities of Kenai or Soldotna where some KNO payroll dollars will be spent

11 KNO Restart Project Charitable Contributions and Organization Support Once back in production, Agrium would resume its community investment role by supporting local non-profit organizations and projects. Future employees can also be expected to be active in their communities in volunteer hours, cash and in-kind donations.

12 KNO Restart Project Source: McDowell Group: The Economic Benefits of Reopening the Agrium Kenai Nitrogen Plant May 2013 Student Enrollment and School District Revenue Approximately 130 students are expected to be enrolled by KNO families under a single train operation and 220 students under a two train operation $690,000 (single train) to $1.2 million (two train) in state education funding to the district

Agrium Inc Lake Fraser Drive SE Calgary, Alberta, Canada T2J 7E8 Telephone (403) Agrium U.S. Inc South Ulster Street, Suite 1700 Denver, Colorado, U.S Telephone (303) NYSE and TSX: AGU agrium.com