February 22, 2007
Province Unveils $15-Million Potash Exploration Plan
– – –Manitoba's Rich Potash Deposits To be Explored: Rondeau
Science, Technology, Energy and Mines Minister Jim Rondeau announced today that global resources company BHP Billiton will invest $15 million to explore the potential of a large potash deposit in the Russell-Binscarth area.
“Manitoba’s untapped potash deposits have the potential to generate hundreds of jobs and attract millions of dollars in direct investment,” Rondeau said. “BHP Billiton is the largest diversified resources company in the world with the capability to properly assess the Russell-Binscarth deposit at no additional cost to Manitobans.”
The deposit is owned by the province of Manitoba (49 per cent) and Potamine Corporation of Canada (51 per cent) as joint partners in the Manitoba Potash Corporation (MPC). MPC was created in 1986 to hold the assets of the Russell-Binscarth potash project. BHP Billiton has recently bought out Potamine’s share in the MPC.
Potash, or potassium chloride, is a key component in inorganic fertilizers used worldwide. Potash prices, production and worldwide demand continue to increase. New potash deposits will have to be developed within five to 10 years to meet this growing demand.
A 1987 consultant’s study indicated at that time a potash mine in the Russell-Binscarth area would probably generate more than 360 direct jobs in mining, processing and administration. There would also be additional indirect job creation in local support and service sectors.
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