• You will need to login or register before you can post a message. If you already have an Agriville account login by clicking the login icon on the top right corner of the page. If you are a new user you will need to Register.

Announcement

Collapse
No announcement yet.

Nothing cures high prices like high prices

Collapse
X
Collapse
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Nothing cures high prices like high prices

    Billions of Metric Tons of Potash Discovered in Central Asia
    The U.S. Geological Survey recently released results of its latest global mineral resource assessment, reporting that the Central Asia Salt Basin of Turkmenistan, Uzbekistan, Tajikistan and Afghanistan has the potential to contain between 39 and 54 billion metric tons of undiscovered potash resources. Known potash resources in the central Asia Salt Basin already consist of 1.63 billion metric tons. Potash is produced worldwide at amounts exceeding 30 million metric tons per year, mostly for use in fertilizers. This newly found glut means that number could rise even further. As of 2010, Canada was the largest producer of potash (9.5 million metric tons), followed by Russia, Belarus, China, Germany, Israel and Jordan. Potash is produced in many countries throughout the world, but production is concentrated in North America and Eurasia. Each of the 12 major potash-producing countries produced 1 million metric tons or more in 2010. The latest potash find in the Central Asia Salt Basin means central Asia now has ​enough ​known resources to possibly become the world's number one producer of potash within the coming years. ​Interestingly, t​he basin’s significant potash resources originated in an inland sea during Late Jurassic time. Seawater flowed into the Basin, mostly from its extreme northwestern margin near the modern Caspian Sea, during several evaporation episodes that deposited at least five different packages of evaporites, with virtually all potash in the second and fourth packages. For more about this discovery, you can check out the USGS report HERE. (Source: US Geological Survey)

    #2
    Oh great...bad news for PotashCorp shares.

    Even here at home I thought the Industry was being overbuilt. All existing mines plus Jansen and Bethune coming on line. Then Kronau on hold yet Chinese poking around Earl Grey area? Probably all more than enough to offset New Brunswick's mine closure at Sussex.

    I thought the plans were a little zealous.

    Comment


      #3
      Originally posted by farmaholic View Post
      Oh great...bad news for PotashCorp shares.

      Even here at home I thought the Industry was being overbuilt. All existing mines plus Jansen and Bethune coming on line. Then Kronau on hold yet Chinese poking around Earl Grey area? Probably all more than enough to offset New Brunswick's mine closure at Sussex.

      I thought the plans were a little zealous.
      Big Wynyard announcement a bit ago as well.

      Comment


        #4
        Why have local prices for canadian potash come down to prices of canadian potash in India or china?

        Comment


          #5
          Sorry said that wrong.

          Have local prices for canadian potash come down to prices of canadian potash in India or china?

          Comment


            #6
            Agreed Potash Corp shares may drop a little on the news. As far as farmer prices softening is possible but unlikely. Retailers have pre bought a certain volume with farmers's money as well as their own. The margin is secure on the farmer pre buy, but now the retailer has to make the same margin on what they have bought to resell in the spring. If a farmer has not pre bought all their potash, I would expect the answer this year will be an interruption in supply and/or shortage of potash due to unforeseen circumstances. My favourite is Shortage of commercial trucks due to excess farmer deliveries to elevator. Spin that problem right back onto the farmer!

            Comment


              #7
              Their margins could drop in half and they would still be profitable.

              No trucks no trains and no brains to move a product 90 miles without creating a shortage as an excuse.

              Mine sheds are full. They would never shut down without being plugged.

              Mosaic tried it once...heads rolled for that ooops.

              Comment


                #8
                The best example is oil, in the Middle East vs new producers. OPEC and Middle East maintain and increase oil production slamming prices, bankrupting new producers.
                Can it happen with potash, mines paid for, protect there market share and Sask economy?

                Comment


                  #9
                  Hey let's call potash a stategic resource and protect with taxpayers money.

                  Or nationalize it. Really not much different.

                  Comment

                  • Reply to this Thread
                  • Return to Topic List
                  Working...