Canpotex has finalized potash supply contracts for 2015 with all of its major customers in China, including Sinofert (Sinochem Fertilizer Macao Commercial Offshore Ltd.). Pricing was confirmed with its customers at current competitive levels.
Canpotex expects its 2015 shipments to China will reach a minimum of approximately 1.8 million tonnes, surpassing the 1.6 million tonnes shipped in 2014. Under the parameters of its existing Memorandums of Understanding (MOUs), shipment volumes could increase to a maximum of approximately 2.5 million tonnes, depending on market demand, supply availability and logistics.
“We are encouraged by the strength we are seeing in Chinese potash demand,” said Steve Dechka, Canpotex's President and Chief Executive Officer. “We believe these settlements help position our key customers in this region for continued growth and highlight Canpotex’s increasingly important role in supporting China’s rising potash needs."