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.
Potash Corp. Mining News
Decision doesn’t mean the miner has abandoned plans to capitalize on the electric-car boom, sources familiar with the matter say.
There is a lot at stake for Potash Corp, which purchased its interest in SQM piecemeal a decade ago and could stand to earn billions in the transaction.
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 company is also said to be mulling a number of investment projects involving a Chinese chemical company.
Mosaic was charged with fines of more than more than $85,000 after a worker's leg was crushed in a conveyer in February 2014.
No injuries were reported and work resumed the next day.
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.
Decision to resume operations at the mine was based on Mosaic's expectations that 2017 will be a stronger year for the potash industry.
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 last half of 2016 has proven to be extraordinary for potash as several mega deals may finally re-spark the sector.
Sirius Minerals’ York mine is expected to be one of the world’s largest in terms of the amount of resources extracted, generating an initial 10 million tonnes of polyhalite per year.
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.
Analysts see the long-awaited deal to sell potash to Chinese buyers as good news for the beleaguered sector, even though the agreed price is dramatically lower than last year’s.
The company has set Jan. 3 as the restart date for the mine, but that may change based on market conditions.