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.
Uralkali Mining News
BHP has been developing its own Canadian potash mine — the Jansen project — in Potash Corp's backyard, and has already invested about $3.8 billion on it.
Belarus has said it might cooperate with Uralkali, in the first sign the two sides might work together since the Russian potash producer broke off their business alliance in 2013.
The Denver-based potash miner is placing its West facility in New Mexico in "care and maintenance” beginning July.
Analysts, companies expect prices to stay below 2015 levels for at least the next two years.
The world's largest potash miner is said to be mulling a merger with Uralchem, one of its main shareholders.
After being practically absent from the Indian market for two years, the Russian firm has signed a three-year supply contract with IPL.
When it comes to major deals in the potash space, 2015 has been a little sluggish.
Two Chinese banks are among the eight institutions that have provided Uralkali a $530 million loan.
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 Saskatoon-based miner also hiked its quarterly dividend 9% to 38 cents per share.
The nation first cut export tariffs to zero in September 2013 and won't reverse measure next year.
The world’s largest potash supplier had to evacuate workers from its Solikamsk-2 mine in Russia’s Perm region due to an increase in brine inflow.
The company is approaching the end of a decade-long, US$8.3-billion investment program to boost its potash production capacity.
Last year's fertilizer price plunge called strategy into question.
Russian Dmitry Rybolovlev, ex-owner of potash giant Uralkali, loses six-year divorce court battle.
Sergey Chemezov is considered close friend of President Vladimir Putin.
Speculation is mounting as the industry has shifted enough to make a buyout attractive.
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.