Mosaic idles Colonsay potash mine
The Mosaic Co. on July 13 announced that it will idle its Colonsay potash mine in Saskatchewan for the remainder of 2016 and halt current turnaround activities. Mosaic said the move is intended to allow it to meet customer demand while adapting to challenging potash market conditions. Approximately 330 employees have received temporary layoff notices as a result.
“We continue to execute the difficult but necessary actions to ensure Mosaic will be as competitive as possible across the business cycle,” said President and CEO Joc O’Rourke. “Lower global potash demand and market prices require that we curtail production. Idling Colonsay will enable us to meet our customers’ needs while reducing our production costs.”
The Colonsay mine’s proven annual production capacity is 2.6 million mt. Mosaic’s lower-cost Esterhazy and Belle Plaine mines, in combination with current inventory, will allow it to meet its short-term potash supply needs, the company said.