A global mining giant is planning to spend $2.6 billion over the next several years on work at its Jansen mine in Canada’s Saskatchewan province.
That announcement resonates in the Pacific Northwest, because the company plans to build a facility at the Port of Vancouver to ship potash to Asian markets.
Potash is a crop nutrient.
The Columbian reports that BHP Billiton’s announcement is significant because analysts had been concerned that the company might pull the plug on the project.
Those concerns were prompted by the collapse in July of an influential producer cartel. Some analysts said that could bring down prices for potash.
But officials with Melbourne, Australia-based BHP say the long-term outlook for potash remains strong.
Construction on the company’s Vancouver facility is now expected to begin in 2014.