Potash West is our preferred potash exposure and it's performing solidly from a share price perspective as potash demand and prices improve

Potash West is our preferred potash exposure and it's performing solidly from a share price perspective as potash demand and prices improve. There have been some interesting recent developments in the global potash industry because of their broader potential impact. According to the latest data from Canada's Scotiabank, global shipments have rebounded significantly this year, whilst prices are also creeping back up. Buyers have been making the most of lower prices and global potash deliveries could be on the high side of expectations at 58 million tonnes (+7%), boosted by strong sales in North America, record fertilizer application in Brazil, and a modest pick-up in demand from palm oil growers in Malaysia and Indonesia. At the same time spot potash prices (FOB Vancouver) edged up from $302.50 in June to $310 per tonne in July, after bottoming at $295 in January. $310 a tonne is of course a long way away from the $950 touched during 2009, but most metals and minerals producers today would settle for a rising price environment, however modest.


1 topic

Gavin Wendt
Founding Director
MineLife

Gavin has been a senior resources analyst following the mining and energy sectors for the past 25 years, working with Intersuisse and Fat Prophets. He is also the Executive Director, Mining & Metals with Independent Investment Research (IIR).

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.