Athabasca has one of the largest exploration permit areas in the Saskatchewan Basin
By Sarah Wolfe
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BHP Billiton plans to pay CAN$341 million in cash for Athabasca Potash Inc. in Saskatchewan. The Canadian company’s Burr project, located beside BHP Billiton’s Jansen project, has one of the largest exploration permit areas in the Saskatchewan basin, covering approximately 6 900 km2, according to BHP.
BHP, the largest mining company in the world, will offer CAN$8,35 a share in cash for Athabasca.
The potash market sharply increased in 2007 and the early part of 2008, but demand dropped off later that same year as the economic crisis led farmers to decrease fertilizer usage. The market is still lagging, however it’s expected to significantly improve in 2010 as farmers are forced to replenish nutrients in the soil, according to BHP.
Learn more at: Athabasca Potash Inc.
(Edited by Militza Richard)