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Markets and Growth StrategyThe company serves the Southwestern USA and Northern Mexico markets, with the USA market as our largest market. Apache serves its Investor/Customers in the mining industry as its major customers in the USA, and serves agricultural customers of Arizona and California for vegetables. The markets in Northern Mexico also play a very significant role in our mining, industrial and agricultural sales volume, sales which began as a trickle in the late 1990’s, has increased dramatically and is a significant part of our business today. While product applications are similar, the process of doing business in a foreign country is more involved than in the typical U.S. markets. Starting in 2004, Apache became the first U.S. producer of EXPAN™ which is a form of Porous Prilled Ammonium Nitrate with enhanced performance and properties.
At Apache, we must work closely with our Homeland Security agencies in the U.S. and SEDENA in Mexico; to be sure our products are handled and used responsibly. Without exception, they have been extremely helpful, working with us to define guidelines and procedures which minimize inconvenience and delay, and insure a reliable and safe supply to our customers. Shipping also becomes more complicated when working with rail and trucking companies from both countries. In the case of our mining related products, we use dedicated carriers, which have the most comprehensive training and safety procedures. Although it can be challenging to schedule exactly when our products will reach the customer, Apache and its Carriers successfully insure just-in-time shipping and sound inventory management. Over time, we’ve developed and maintain a good working relationship with our customers, carriers and regulators, which allow us to provide consistent customer service without compromising safety or our own country’s security needs. |