Photo by: Reuters
VANCOUVER (miningweekly.com) – Canada’s largest potash producer PotashCorp of Saskatchewan said on Wednesday it would curtail some capacity to balance its supply with market demand.
Saskatoon, Saskatchewan-based PotashCorp said it would fully rely on its lowest-cost Rocanville operations, while the Allan operation would curtail output for ten weeks, starting on November 19. The Lanigan mine will also curtail production for eight weeks, starting on December 3.
PotashCorp said the number of temporary layoffs associated with the inventory adjustments had not been determined, as the company was assessing opportunities for reassigning employees during these shutdown periods to essential services, capital projects and maintenance activities.
Meanwhile, US rival The Mosaic Company announced on Wednesday that, despite avoiding significant damages in connection with Hurricane Irma, the company expects about 250 000 t to 350 000 t lower production in the month of September. Together with the damage to Mosaic's Bartow warehouse, this could result in a loss of up to 400 000 t of finished phosphate product.
However, the impact is slightly offset by profitability metrics tracking ahead of the third quarter guidance, with good demand and strong operational performance.