Business

Canpotex to expand potash export capacity

Canpotex Ltd., the Saskatchewan potash export agency, has announced plans to spend more than $500 million to almost double its West Coast shipping capacity to 23 million tonnes a year.

Canpotex Ltd., the Saskatchewan potash export agency, has announced plans to spend more than $500 million to almost double its West Coast shipping capacity to 23 million tonnes a year.

The projects, subject to agreements with the port authorities, would add 11 million tonnes of annual potash shipping capacity to its current 12 million tonnes by the end of 2012, Canpotex said.

It plans a new terminal on Ridley Island near Prince Rupert and an expansion beside Neptune Bulk Terminals (Canada) Ltd. in North Vancouver.

"These projects are essential and strategic steps in preparing for long-term growth in global potash demand," stated Steven Dechka, president of Canpotex, which is owned by the three Saskatchewan potash producers — Agrium Inc., Potash Corp. of Saskatchewan Inc. and the Mosaic Co.

"With Canpotex shareholders working to significantly increase production over the next several years, we have a responsibility to build on our long-term ability to deliver this essential nutrient to offshore markets," Dechka said.

"In addition to increasing shipping capacity, the terminals will provide access to the fastest shipping routes to certain key offshore markets such as China."