Metals

First production from major BHP potash mine just over two years away

CBCIE Time:Aug 28, 2024 15:53 Source:miningweekly.

Diversified miner BHP’s $5.7-billion Jansen Stage 1 potash project, in Canada, is advancing swiftly with first production now about two years away.

“The team is making excellent progress on construction and readying it for the start of operations,” said CEO Mike Henry on Tuesday.

Stage 1 is more than 50% complete and is tracking ahead of its original schedule, keeping BHP on track to be a major global producer of potash by the end of the decade.

The Jansen Stage 1 project will have a ramp-up period of two years following the initial production. Once fully operational, it is expected to produce about 4.15-million tonnes a year of potash, a key fertiliser ingredient essential for sustainable and efficient farming.

In October last year, BHP approved an additional $4.9-billion investment for Jansen Stage 2, which will significantly increase the project's production capacity. The expansion will double Jansen's planned output to about 8.5-million tonnes a year, further solidifying BHP's position in the global potash industry.

By transitioning directly from Jansen Stage 1 to Stage 2 during the construction phase, BHP aims to capitalise on the operational benefits, including the expertise of its integrated project team and the continued partnership with existing suppliers and contractors.

Looking further ahead, BHP envisions Jansen as a cornerstone of its potash strategy, with the potential for two additional expansions that could boost total production capacity to between 16-million and 17-million tonnes a year, subject to further studies and approvals.

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