PotashCorp, Mosaic reach agreement on potash mine
Potash Corporation of Saskatchewan Inc. (PotashCorp) announced the settlement of its litigation with Mosaic Potash Esterhazy Limited Partnership (Mosaic).
Under the settlement Mosaic will deliver the balance of the potash tonnes owed to PotashCorp for the 2011 and 2012 calendar years. On December 31, 2012 the Canpotex Esterhazy productive capacity shall be reallocated from PotashCorp to Mosaic.
As part of the settlement, Mosaic’s counterclaim for damages arising from PotashCorp’s declaration of Force Majeure in April 2009 will be dismissed.
“This settlement provides PotashCorp and its stakeholders with certainty through 2012 and dovetails with our ongoing potash expansion program, which will increase operational capability to 17.1 million tonnes by 2015,” said PotashCorp President and Chief Executive Officer Bill Doyle.