Premier Addresses Potash Problems

Premier Addresses Potash Problems Government  Saskatchewan Provincial Economy   Premier Brad Wall spoke to reporters about the uncertain situation facing the potash industry and what it might mean for Saskatchewan during a public BBQ in Moose Jaw Wednesday

With existing mines and expansion plans in place, potash is big business around Moose Jaw and the pink mineral has plenty of people talking as stocks of potash producing companies plummet.  Speaking at a SaskParty event in Moose Jaw Wednesday, premier Brad Wall says we should keep calm and give it time as it’s too early to say how the current situation will affect Saskatchewan.

Stocks around the world have fallen after Russian company Uralkali threatened to pull out of a marketing consortium and undercut prices on the world market.  Analysts predict this could delay potash expansion and reduce economic growth and, if prices were to stay low, it would force the provincial government to tighten its belt but, for now, the premier suggests we keep calm.

Potash revenue only accounts for 5 per cent of all of our revenues and I think people sometimes in the province, especially from outside of Saskatchewan, think potash is paying all the bills,” he says.  “We see oil at a much higher price than what we’ve budgeted so there will be more revenue from oil this year and less from potash.  It’ll probably balance itself out but we need to be careful.”

The premier and Swift Current’s MLA says, potash around the province are continuing as planned due to the fact that they are based on the long-term.  While K+S Potash Canada, a German company working on a new mine north of Moose Jaw, hasn’t commented publicly, he’s still optimistic about that project.

via Local News

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