Analysts, companies expect prices to stay below 2015 levels for at least the next two years.
Potash Corp. of Saskatchewan Mining News
It expects to sell the key crop nutrient for $200-230 a tonne in the current quarter, compared to an average price of $254 a tonne in the previous three-month period.
The indefinite suspension of the Picadilly mine, in Canada's New Brunswick, is expected to cut the company's capital costs by $50 million in 2016 and $135 million over the next two years.
The offtake deal with Huaken International is for seven years from the moment the York Potash mine is up and running.
The fertilizer giant also announced temporary inventory shutdowns as it deals with a weakening potash market.
The $3.15 billion project will tap into the world’s largest and highest grade deposit of polyhalite, used as a fertilizer, inside the North York Moors National Park.
The global potash market is about to get competitive, and Potash Corp.'s shareholders should pay attention.
The market may be factoring in a roughly 60% chance that Potash Corp. successfully acquires K+S AG, but one analyst from J.P. Morgan thinks the odds are much lower.
Potashcorp shares jump after making unsolicited bid for Europe's largest potash producer amid fundamental shifts in the industry.
While oil production is expected to drop by 4% this year, potash output will jump 8%, BMO forecasts.
While it did not release price terms, it is believed the group will be selling its crop nutrient for US$315 per a tonne,
According to analysts from Credit Suisse, Chinese importers will settle at $320 a tonne, versus $305 a tonne they paid last year.
The move is a bet to become the company's main supplier and expand PotashCorp's presence in Latin America.
The Saskatoon-based miner also hiked its quarterly dividend 9% to 38 cents per share.
Minimum of 1.9 million metric tons of red standard-grade potash over three years.
PotashCorp. still plans to close the old mine.
The company is approaching the end of a decade-long, US$8.3-billion investment program to boost its potash production capacity.
Research analysts at TD Securities dropped their target priceon shares of Potash Corp./Saskatchewan (TSE:POT) from C$39.00 to C$38.00 in a report released this week.
Although Potash Corp. is a vital player in the agriculture industry, this has not led to a strong performance in the stock market in 2014, as its shares have uderperformed the TSX Composite Index’s 4.5% gain.
Analysts say this is “make or break” time for the company behind the massive mine, Sirius Minerals.
Chief Executive Officer Andrew Mackenzie said the project ramains in BHP's main plans, but added the firm is not in a rush to develop it.
The potential mine could generate $2 billion worth of royalties for the province over the course of 40 years, and sustain close to 600 jobs.
According to the company, the mine will employ about 1,800 workers during construction and generate 1,000 permanent jobs once opened.
While it did not disclose the costs and planned capital expenditure for the Albany project, Rio has previously said the deposit had enough potash to sustain a low cost operation for decades.
The exclusivity agreement, which expired last week, would have given BHP the right to develop a potash port close to its Jansen project.