In its latest ruling, the Federal Regional Court of Brazil’s 1st Region (TRF-1) issued a unanimous judgment endorsing the Potássio Autazes project by Brazil Potash and rejecting challenges filed by the Manaus Federal Public Prosecutor’s Office and regional NGOs. The court published its ruling on June 6, 2025, confirming that the procedural and substantive aspects of the licensing and consultation process complied with legal requirements. 

At the heart of the ruling was validation of consultations carried out by the Mura Indigenous Council (CIM) among Indigenous communities in Autazes following United Nations protocols. The court accepted that the threshold of at least 60 percent of participating communities supported the project had been met (CIM cite the actual support from their vote is >90%).  In voting, Judge Flávio Jardim argued that “There does not seem to exist arguments that may allow, at least in summary cognition, that the consultation … was not carried out in good faith and in a way appropriate to the circumstances.”  According to the decision, while those communities excluded from consultation should be heard in the future, their dissent does not carry veto power over the project’s continuation. 

Another central issue before the court was the legitimacy of the environmental licensing authority. Opponents had argued that the federal environmental protection agency IBAMA should oversee licensing due to the project’s proximity to Indigenous lands. The TRF-1 rejected this argument, holding that because the land in question has not been demarcated as Indigenous territory, the Amazonas state environmental agency, IPAAM, is competent to issue the environmental licenses required for project construction.  The court further noted that, should the area later be declared Indigenous land, a congressional regulation would be needed to define the validity of acts undertaken prior to demarcation. 

This latest ruling builds on previous TRF-1 decisions. In February 2024, the court overturned a lower court injunction that had suspended the licensing process, restoring the ability for IPAAM to issue permits.  In May 2025, a special session of TRF-1 had already affirmed IPAAM’s authority and suspended the effects of a prior Manaus court decision, in which had shifted jurisdiction to IBAMA. With the court’s decision now published, the court leaves no lingering question of the authority of IPAAM or the validity of the consultation at this judicial stage.

By affirming both licensing competence and the legitimacy of the consultation, the court’s decision clears a major legal obstacle for Brazil Potash’s Autazes project. The authorization of prior licenses under IPAAM now stands judicially reinforced, enabling the project to proceed into its next development phases with legal certainty.

Brazil Potash’s Autazes potash project, led by its 100% owned subsidiary Potássio do Brasil, proposes the exploration and extraction of a sylvinite deposit located about 120 km from Manaus in the state of Amazonas.  The project, once in production, is anticipated to supply up to 17 percent of Brazil’s demand for potash for over 30 years, reducing dependence on global imports—particularly given supply disruptions stemming from the Russia–Ukraine war and sanctions on Belarus.  It anticipates total investments in the order of R$ 13 billion and the generation of more than 17,000 direct and indirect jobs over its operational life. 

With TRF-1’s ruling affirming legal and procedural foundations, Brazil Potash gains reinforced judicial backing and momentum toward implementation.

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