Hong Kong (AFP) - The dollar hit a 12-year high against the euro Monday, ahead of a closely watched Federal Reserve policy meeting this week, while oil prices fell again as US supplies continued to build.
Potash Corp. of Saskatchewan Inc. reported a 45% year-over-year drop in third quarter profit on Thursday as plunging nutrient prices, poor sales volumes and general market uncertainty took a huge toll on the company.
Earnings of US$356-million, or US$41¢ a share, were in line with the company’s recently lowered guidance. Saskatoon-based Potash Corp. also slashed its full-year earnings forecast to between US$2.00 to US$2.20 a share, down from the prior level of US$2.45 to US$2.70.
On October 9th, Allana Potash announced that it has received the Mining Licence for the Danakhil Potash Project from the Ethiopian Ministry of Mines, after receiving approval from the Ethiopian Council of Ministers.
If you’ve been tempted to buy the recent dip in potash stocks, a new report from HSBC recommending investors avoid the sector altogether might have you reconsidering.
Potash companies have seen their stock prices plummet following the announcement last month that a Russian-Belarusian potash cartel that controlled 43% of global exports was being dismantled. That led to an immediate collapse in potash prices, and analysts rushed to lower their forecasts for future prices of the fertilizer product.
Potash Corp. of Saskatchewan Inc., the world’s largest fertilizer producer, scrapped a proposed takeover bid for Israel Chemicals Ltd. after opposition to the deal from workers and Israeli politicians.
“Now is not the time to pursue this opportunity,” Saskatoon, Saskatchewan-based Potash Corp. said Thursday in its first-quarter earnings statement.
Potash Corp. of Saskatchewan Inc. reported a decline in fourth quarter earnings on Thursday as the company generated weaker results from all of its nutrients and absorbed a couple of one-time charges.
Chief executive Bill Doyle noted that global fertilizer markets “paused” in the quarter in the absence of “significant immediate needs” and a lack of direction.
By Marc Davis, BNWnews.ca In spite of a flurry of headlines in recent weeks heralding a game-changing consolidation of the world’s lucrative potash mining industry, Canada’s two small aspiring potash miners are standing firm.Both Western Potash (TSX.V: WPX) and Potash One (TSX: KCL) say they are committed to building mines that will be in business for decades. In other words, they’re not for sale.