Rio’s renewed interest in SQM is welcome by the Chilean government, which had expressed concerns about a potential and dangerous concentration in the market should major lithium producers, such as China’s Tianqi, acquire the 32% interest in SQM.
Agrium Mining News
Decision doesn’t mean the miner has abandoned plans to capitalize on the electric-car boom, sources familiar with the matter say.
Potash Corp of Saskatchewan Inc (POT.TO) and Agrium Inc (AGU.TO) have received final regulatory clearance to merge, forming a new company to be known as Nutrien.
Chinese firms have shown “broad interest” in buying PotashCorp’s stake in the Chilean lithium producer SQM, according to chief executive Jochen Tilk, who declined to name interested parties or the number of bids the company has received.
The two firms are just the latest names in a long list of companies that includes major players such as Rio Tinto, interested in grabbing a stake in Chile’s Chemical and Mining Society (SQM).
Mining giant is eying the 32% interest in SQM that PotashCorp is selling to fulfill China's regulators condition for the approval of the its friendly merger with smaller rival Agrium.
Rumours point at US chemical company Albenarle Corporation as the first potential buyer for PotashCorp interest in SQM, worth about $4.5 billion.
Move would seek to secure approval for its friendly merger with smaller rival Agrium, creating the world’s largest potash miner worth about $36 billion.
The firm will be world’s largest potash miner and No.2 nitrogen fertilizer producer.
The Canadian miner, the world’s largest producer of the fertilizer by capacity, expects strong demand to continue this year as North American farmers seek to replenish soil nutrients after record harvests.
The firm anticipates “challenging market fundamentals” in the phosphate-fertilizer market, adding that it is currently assessing the value of some assets, which may lead to writedowns.
The 114 miners who were trapped underground following a fire are now home and operations will resume today.
The company also said it expects layoffs resulting from temporary production halts at its Lanigan and Allan mines in early 2017.
The deal, the biggest Canadian merger since CNOOC Ltd. bought Nexen Energy ULC in 2013, would create the world’s largest crop-nutrient supplier, worth about $36 billion.
The combined firm will be the world's largest crop nutrient producer and third largest natural resource company in Canada.
Ryan Lewenza, Portfolio Manager, Turner Investments joins Bloomberg TV Canada's Pamela Ritchie to discuss the potential merger of Potash Corp and Agrium and what that means for the market.
A tie-up could produce a fertilizer giant worth more than $30 billion.
While it did not release price terms, it is believed the group will be selling its crop nutrient for US$315 per a tonne,
The move may be the first of many more competitive deals by producers in the potash market, which has historically operated with large joint ventures controlling prices.
According to analysts from Credit Suisse, Chinese importers will settle at $320 a tonne, versus $305 a tonne they paid last year.
Minimum of 1.9 million metric tons of red standard-grade potash over three years.
Production at the mine was suspended in July after a mechanical failure on the operation’s main hoist system.
Operations at Agrium’s Vanscoy potash mine in Saskatchewan will remain suspended after a mechanical failure on its main hoist system on July 25.
The price of the soil nutrient is down 25% in a year.
Miners just had to wait out the smoke in the mine and stay underground overnight.