Canpotex to raise potash shipping capacity

Published: June 25, 2008

Potash marketing firm Canpotex plans to spend over $500 million over the next four years to expand its export capacity over two Canadian west coast terminals by over 90 per cent.

The company, which has offices in Saskatoon, Vancouver, Singapore, Hong Kong and Tokyo, is the jointly-owned offshore marketing arm of Agrium, Mosaic Canada Crop Nutrition and Potash Corp. of Saskatchewan.

Its plans, pending finalized agreements with the B.C. port authorities in question, include a new “greenfield” terminal at Ridley Island near Prince Rupert, and an expansion (“brownfield”) project next to Neptune Bulk Terminals in North Vancouver.

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Scheduled for completion by the end of 2012, the two projects are expected to add about 11 million tonnes per year of potash shipping capacity to Canpotex’s current west coast capacity of 12 million tonnes, the company said.

“These projects are essential and strategic steps in preparing for
long-term growth in global potash demand,” said Canpotex CEO Steven Dechka in a release Tuesday.

“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,” he 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.”

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