ESTERHAZY, Saskatchewan--(BUSINESS WIRE)--
Mosaic has reached a major milestone in the development of our
multi-year mine project at Esterhazy K3. As of December 18, 2018, we
commissioned the production hoist and sent the first bucket of potash on
the overland conveyor to the Esterhazy K2 mill. The commissioning of the
K3 production hoist takes us one step closer to mitigating Esterhazy’s
brine inflow costs and risk. The hoist will move 60-ton skips, capable
of lifting 10 million tons of potash per year.
K3 demonstrates Mosaic’s commitment to the long-term sustainability of
Mosaic’s operations and our vision for the future of our potash
operations in Saskatchewan. Upon completion of K3, Mosaic’s Esterhazy
operation is expected to be the largest, most competitive underground
potash mine in the world.
“The new K3 mine is part of a long-term vision for Mosaic that will
sustain our potash operations for many years into the future,” said
President and CEO Joc O’Rourke. “K3 will allow us to mine our
significant ore reserves in the Esterhazy area, while being much more
efficient.”
We believe the Esterhazy K3 project is the world’s only new potash mine
that remains on budget and on time. It is expected to reach full
operational capacity by 2024.
Under current market conditions the project is expected to generate an
ROIC well in excess of our cost of capital, while significantly lowering
risks and costs by eliminating brine management.
About The Mosaic Company
The Mosaic Company is one of the world's leading producers and marketers
of concentrated phosphate and potash crop nutrients. Mosaic is a single
source provider of phosphate and potash fertilizers and feed ingredients
for the global agriculture industry. To learn more about K3, visit www.mosaicco.com/K3.
This release contains forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. Such statements
include, but are not limited to, statements about the anticipated
benefits of commissioning the K3 production hoist or strategic plans
regarding mitigating brine inflow management costs and other statements
about anticipated future financial, production and operating
performance. Such statements are based upon the current beliefs and
expectations of The Mosaic Company’s management and are subject to
significant risks and uncertainties. These risks and uncertainties
include, but are not limited to: difficulties with realization of the
benefits and efficiencies of the K3 operation; actual costs of various
items differing from management’s current estimates, price and demand
volatility for our products, other changes in market conditions,
accidents and disruptions involving the Esterhazy operations, including
potential mine fires, floods, explosions, seismic events, sinkholes or
releases of hazardous or volatile chemicals; changes in foreign currency
and exchange rates; international trade risks and other risks associated
with Mosaic's international operations, changes in government policy,
changes in environmental and other governmental regulation, Canadian
resources taxes and royalties, as well as other risks and uncertainties
reported from time to time in The Mosaic Company’s reports filed with
the Securities and Exchange Commission. Actual results may differ from
those set forth in the forward-looking statements.
View source version on businesswire.com: https://www.businesswire.com/news/home/20181218005872/en/
Media
Ben Pratt
763-577-6102
Benjamin.pratt@mosaicco.com
or
Investors
Laura
Gagnon
763-577-8213
Laura.gagnon@mosaicco.com
Source: The Mosaic Company