Shares of some of the largest potash producers soared on speculation that the accident could knock out a large chunk of global production capacity.
Belaruskali Mining News
The new plant, to be based at the Karabil potash deposit, is estimated to be worth about $1.4 billion.
In the massive Soligorsk mine, workers 2,000 feet below ground are drilling at seams of pinkish rock and rattling a $20 billion commodity market.
After being practically absent from the Indian market for two years, the Russian firm has signed a three-year supply contract with IPL.
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.
While criminal charges against Vladislav Baumgertner, former Uralkali CEO, were ditched, he may face further damages claims as part of the so-called potash case.
The nation first cut export tariffs to zero in September 2013 and won't reverse measure next year.
The price is also about 25% below what India paid last year to the now defunct Belarusian Potash Co., which Uralkali owned jointly at the time with Belaruskali.
The world's biggest potash producer will sell 700,000 tonnes to China for $305 per tonne in the first half of 2014.
'2013 is likely to go down as one of the worst years in the history of the fertilizer industry,' the Motley Fool recently wrote.
The move could lead to a revival of the world's largest potash export cartel between Uralkali and Belaruskali.
Upheavals in the potash market continues.