POTASH PRODUCTION – PCS, Mosaic boost Canadian potash output

SASKATCHEWAN - Expansion is the name of the game at two of Canadas potash mines.

POTASH CORP. OF SASKATCHEWAN (PCS) of Saskatoon has announced plans to boost production at its Cory mine. The company says it will cost US$775.0 million to add 1.2 million t of production.

The Cory mine has a nameplate capacity of 1.4 million t/y, but produced only 800,000 t in 2006. The project will involve debottlenecking of underground operations as well as a significant expansion into the production of red potash products. A new plant will be constructed for the crushing, flotation, centrifuging and drying of 2.0 million t/y of red products, with up to 800,000 tonnes of this to be crystallized for white product production. Additionally, storage, loadout and rail yard capabilities will be improved.

Work at Cory is scheduled to begin immediately says PCS (www.PotashCorp.com), and will take 36 months to complete. Capacity at the mine will be increased to 2.0 million t/y. The output for PCS will be 13.5 million t/y by Q2 2010.

MOSAIC COMPANY of Plymouth, Minnesota, boosted the capacity of its Esterhazy capacity to 5.3 million t/y. The 1.1-million-t/y expansion cost an estimated US$35.0 million and was complete late in 2006.

The companys (www.MosaicCo.com) additional potash projects include adding 120,000 and 360,000 t/y of incremental capacity by 2010 and 2012, respectively, at its Belle Plaine operation. Additionally, Mosaic plans to add approximately 200,000 t/y of incremental capacity at its Colonsay mine by 2010. Other projects are also under consideration.