It was only a matter of time before another deal was done in the potash market.
Articles Tagged "canpotex"
As the potash world reels from last week's shake up, broader scale conversations about how potash producers are going to weather the storm have come to surface. But what about the junior potash market? How will the developments in the current potash market affect future producers?
Reuters reported that the possible entry of BHP into the potash market could threaten the existing duoply currently held by Belarus Potash Company and Canpotex, who together control about 70 percent of the market.
With potash contract prices dropping to the lowest level seen in years, the potash sector does not appear ready to rebound just yet.
Karnalyte's recent deal could be one of many this year as junior potash projects are likely to be a key component of emerging Asian economies' efforts to lock down long-term, stable supplies of potash.
Falling phosphate prices reduced Mosaic's profits in the most recent quarter, but Jim Prokopanko, the company's CEO, expects 2013 to bring "record global phosphate shipments."
A potash-market slowdown has been offset by strong strategic moves taken by industry heavyweights.
PotashCorp's earnings outlook cut is causing investors to question the future of the potash market.
Reuters reported that Canpotex signed contracts to supply the Indonesian market with potash for five years.
Reuters reported that K+S AG (ETR:SDF) isn't likely to be part of the Canpotex consortium when its Saskatchewan mine opens.