BHP, which is the world’s largest mining company, had a very good year.
This is a company which is constructing a potash mine in the Jansen Lake area, about 150 kilometres east of Saskatoon.
BHP’s operational review for the year that ended June 30th was released late Thursday, indicating a 33 per cent jump in profit to $8.9-billion and shares are up from $0.43 cents a share last year to $0.63 cents a share this year.
BHP’s budget for Jansen Mine is $2.7-billion and although there is still no final decision on whether the mine will go ahead, the international company will finish the excavation and lining of the production and service shafts and will install the essential surface infrastructure and utilities.
The work is 79 per cent complete.
The potash industry has been dealing with more supply than demand, but BHP says the potash industry has navigated through this challenge better than expected and projects demand will outstrip supply by the mid-to-late 2020s.