All Posts from January 13, 2015

Canpotex inks MOU with Sinofert – Alert

Canpotex Ltd. has entered into a new three-year Memorandum of Understanding (MOU) with Sinochem Fertilizer Macao Commercial Offshore Ltd. to supply a minimum of 1.9 million mt of red standard grade potash during the term of the MOU.  In addition, Sinofert has the option to purchase up to 2.4 million mt (800,000 mt/y) of other grades of Canpotex potash during the term of the MOU. Pricing will be negotiated every six months (January to June and July to December), based on market conditions.

The MOU covers the period January 1, 2015 to December 31, 2017 and is designed to encourage future growth in new Canpotex product grades and new market regions in China as it provides exclusivity to Sinofert for Canpotex red standard grade potash only, provided Sinofert exercises the annual minimum purchase requirements.

Steve Dechka, Canpotex’s president and CEO, stated that this agreement signifies Canpotex’s ongoing commitment to the growing China market.

"Canpotex is proud of its long-term trusting relationship with Sinofert, and this agreement demonstrates the confidence we continue to have in that partnership. We have been supplying Saskatchewan potash to China since 1972, and with this agreement we will continue to be a leading supplier to this growing market,” stated Dechka. “Canpotex is committed to making an important contribution to global food security and meeting China’s growing potash needs."

Potash shipments resume from Sdom – Alert

Sanctions have ended at Dead Sea Works and potash is now being shipped from the plant at Sdom. This follows an agreement reached at the Beer Sheba Labor Court whereby Israel Chemicals Ltd. agreed to withdraw the dismissal notices sent to 134 workers at Dead Sea Works.

ICL is to return to the negotiating table for intensive talks with the union over a proposed reorganization at ICL.

Haifa Chemicals, which shut down its operations at its plants in Haifa and Mishor Rotem due to a lack of potash supplies, announced that production would resume at both plants by the end of today. A Haifa spokesman said that production in recent weeks had been impacted by the sanctions but that the company was able to supply customers abroad with potassium nitrate from existing inventories.