CALGARY, Alberta -- Agrium Inc. (“Agrium” or the “Company”) (TSX and NYSE: AGU) announced today that it intends to file a preliminary short form prospectus with the Canadian securities regulatory authorities in each of the provinces of Canada and a shelf registration statement with the Securities and Exchange Commission (the “SEC”) in August 2007.

The filings will provide Agrium with additional financing flexibility to reduce outstanding indebtedness, to finance future growth opportunities including acquisitions and investments, to finance capital expenditures and for general corporate purposes.  The filings will allow Agrium to offer from time to time over a 25-month period in Canada and the United States up to US$1-billion of debt, equity and other securities. Should Agrium offer any securities, it will make a prospectus supplement available that will include the specific terms of the securities being offered.  Agrium currently has no specific intention to offer or trade any securities under the planned universal shelf prospectus and registration statement.

Agrium also announced its intention to withdraw its existing Canadian debt shelf prospectus and U.S. shelf registration statement dated May 15, 2006 concurrent with the filing of the planned universal shelf prospectus and registration statement.  
The Canadian preliminary short form prospectus and the U.S. shelf registration statement have not yet been filed with the Canadian securities regulatory authorities and the SEC, respectively. Following such filings, the securities may not be sold, nor may any offer to purchase be accepted, prior to the time a receipt is issued by the Canadian securities regulatory authorities for the final base shelf prospectus, and the shelf registration statement becomes effective. This press release shall not constitute an offer to sell or a solicitation of an offer to purchase any securities of Agrium and shall not constitute an offer, solicitation or sale in any state, jurisdiction, province or territory in which such an offer, solicitation or sale would be unlawful.
 
About Agrium
Agrium Inc. is a major Retail supplier of agricultural products and services in North and South America, a leading global Wholesale producer and marketer of all three major agricultural nutrients and the premier supplier of specialty fertilizers in North America through our Advanced Technologies business unit.  Agrium’s strategy is to grow across the value chain through acquisition, incremental expansion of its existing operations and through the development, commercialization and marketing of new products and international opportunities.  Our strategy places particular emphasis on growth opportunities that both increase and stabilize our earnings profile in the continuing transformation of Agrium.

Forward-Looking Statements
Certain statements in this press release constitute forward-looking statements. Such forward-looking statements involve known and unknown risks and uncertainties, including those referred to in the management discussion and analysis section of the Company’s most recent annual report to shareholders, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. A number of factors could cause actual results to differ materially from those in the forward-looking statements, including, but not limited to, general economic, market and business conditions, changes in the Company’s anticipated financing requirements and the method of financing such requirements and changes in securities and other laws or regulations and the interpretation thereof.  Agrium disclaims any intention or obligation to update or revise any forward-looking information as a result of new information or future events.

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