"Beyond Just An Offtake"Now it starts to make sense...when you connect the dots...the picture starts to take shape and form...The article below tells an interesting tale...Up till now it baffled me why India has not taken serious steps to support potash production from Ethiopia ? We all know that they are not happy with the "Cartels" and that they continue to offer large subsidies to farmers for fertilizers....
As we know, India was planning on investing billions of dollars into the Belaruskali to get a 20% stake...how things change in a month!! Belarus does a 180* turnabout....
India is back to square one as far as securing a long term stable supply of potash for its ever growing population and food demands...
the Indian Government said it planned on spending $2 billion dollars to get into the Belarus Deal....
From a recent article I previously posted, we are told that India is making efforts to set up
“a Dedicated Sovereign Wealth Fund in due course to finance such acquisitions” and it appears the mandate of the Wealth Fund will be to assist “in clinching overseas takeover of assets including strategic equity stakes”
How long was Farhad overseas anyway?..Fardad tells us".
We have now quite a few interested parties and their interest goes beyond just an offtake agreement."
Time will tell all...take all the time you need Farhad...in 2 months with the PEA and a revised NI Resource Estimate your hand will be even stronger...
Karma
Uralkali's Full-Court Potash Press
Russian potash giant Uralkali appears ready to go all full-court press on the world’s fertilizer market.
For a while now, Potashblog had expected Uralkali (or the Chinese, or the Indians, or a private investment company) to buy a significant chunk of Belaruskali, which is valued at $30 billion and also shares a distribution and marketing joint venture with Uralkali. But the focus appears to have drifted toward organic growth – in a big way. It's only been a few months since Uralkali merged with rival Silvinit, becoming the world’s number two potash producer. Plans change, especially when you’re contemplating getting into bed with what amounts to a volatile and unpredictable dictator in Alexander Lukashenko over in Belarus.
Instead, Uralkali announced today that it would invest $5.8 billion to boost its capacity by 80% to 19 million tonnes by 2021, according to Reuters.
"This programme, demonstrating the company's continuing confidence in underlying potash market dynamics, provides for the implementation of a cost effective expansion through both greenfield and brownfield development," it said in a statement.
The company had already planned to raise output by two million tonnes to 13 million tonnes, which is a smidgeon behind PotashCorp’s 13.3 million tonne production capacity. The two sector bellwether company are in a race to be number one, it seems; PotashCorp is pushing to expand capacity to 17.1 million tonnes by 2015. Given both company’s brown- and greenfield expansion plans, it appears management is more than confident in the world’s growing demand for food staples and the need to feed nutrients to arable land in order to ramp up harvest yields.