TSXV:AAA.P - Post by User
Comment by
edxon Feb 26, 2014 6:10pm
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Post# 22256030
RE:POT CEO says Russians reunion logical
RE:POT CEO says Russians reunion logical
Fertiman wrote:
UPDATE 1-Potash Corp CEO says Uralkali-Belaruskali reunion 'logical'
Tue Feb 25, 2014 11:24am EST
By Rod Nickel
Feb 25 (Reuters) - Potash Corp of Saskatchewan chief executive officer Bill Doyle said on Tuesday it was "logical" to expect potash rivals Uralkali OAO of Russia and Belaruskali to reunite at some point in a move that could bolster the struggling potash industry.
https://www.reuters.com/article/2014/02/25/potashcorp-russia-idUSL1N0LU12W20140225
I don't think that's happening until Jansen is dead, we start seeing increased demand growth, other cartel members permit Uralkali a larger overall market share and there is some serious discipline by all cartel members (including Canpotex) to respect quotas.
Uralkali can still inflict a lot more pain on the potash market if they want... and in hindsight their move wasn't as Doyle put it, "the dumbest thing" he's ever seen... it was actually a smart long-term play in my opinion. Bad timing for us, though.