Nutrien Ltd. has announced that in response to the uncertainty of potash supply from Eastern Europe, it plans to increase potash product capability to approximately 15 million tonnes in 2022.
This is an increase of nearly one million tonnes compared to previous expectations, with the majority of additional volume expected to be produced in the second half of the year.
Ken Seitz, Nutrien’s interim president and CEO, says the impacts of the Russia-Ukraine conflict extend beyond Eastern Europe, as a disruption in supply of key agriculture, fertilizer, and energy commodities could have implications for global food security.
“Nutrien is responding to this period of unprecedented market uncertainty by safely expanding potash production to help provide our customers with the crop inputs they need,” says Seitz.”We continue to closely monitor market conditions and will evolve our long-term plans to ensure we utilize our assets in a safe and sustainable manner that benefits all our stakeholders.”
Nutrien’s 2022 potash production is expected to increase by nearly 20 per cent compared to 2020, and account for more than 70 per cent of global production added over this period. The company says they expect a small increase in their 2022 capital expenditures and will be hiring additional employees across their network of low-cost potash mines in Saskatchewan.