Bloomberg reports that Vale SA has asked the Inter-American Development Bank for $500 Million to assist in financing a $6 Billion potash mine in Argentina. This project has the potential to produce up to 4.3 million metric tons of potash over a 50-year period.
As quoted in the market report:
The company, based in Rio de Janeiro, has applied for a $200 million loan from the institution and a $300 million loan to be syndicated among banks, Carlos Pauletti, the IADB spokesman for the South Cone, said in a phone interview from Montevideo, Uruguay. Proceeds from the funds will be used in Vale’s Rio Colorado project in the western province of Mendoza, Argentina, he said.