SASKATCHEWAN – A Brazilian regulator has approved the sale by Vale SA
of its fertilizer division to Mosaic Company
of Plymouth, Minn. The deal includes Vale’s Kronau potash project in this province.
[caption id="attachment_1003719452" align="alignright" width="281"] Exploration drilling at the Kronau potash project near the Saskatchewan town of the same name. (Credit: Vale SA)
Mosaic is paying US$2.5 billion for the project as well as Vale’s five phosphate mines, four processing plants and one potash project in Brazil. Vale’s 40% interest in the Miski Mayo phosphate mine in Peru is also included. Mosaic declined to purchase the Rio Colorado potash project in Argentina or the Cubatao nitrogen and non-integrated phosphate venture.
Vale has completed the Kronau feasibility study that indicates the mine could produce 3.0 million to 4.0 million tonnes of potash per year for over 40 years.
Mosaic has an interest in the Esterhazy K3 potash project, also in Saskatchewan. See www.MosaicCo.com.