BHP wants to include fertilizers as strategic area

The anglo-Australian miner BHP Billiton is about to "enhance" its operations in fertilizers, as well as find resources to address the long-term growth of demand in China.
BHP said today that it is focusing on potassium as a strategic area of growth in China, adding four key areas — iron ore, oil and natural gas, copper and coal — that the company had identified earlier this year.
"Potassium may be our fifth pillar," said Mike Henry, Chairman of the health, safety, environment and technology marketing of BHP.
BHP owns potassium Jansen, project under development in Western Canada. The project could increase the global supply of fertilizers at around 15%. In 2010, the company made an offer of $ 39 billion for Canadian Potash Corp. of Saskatchewan, which was refused by this great producer of potassium.
Potassium is seen by farmers as the most attractive feature and source that produces more nutrients in plants in comparison with other raw materials of fertilizers.
"Diets will continue to change, requiring more agricultural products. Which means we need more fertilizer. And China will continue to be a big part of this scenario, "said Henry.
BHP has invested about $ 3.8 billion to develop the Jansen project, but have not yet defined a clear schedule for him. In September, the company sent its chief administrator to run the project, raising expectations among analysts that the mining company aims to increase its production of potassium.
BHP also seeks partnerships, including Chinese companies, to help develop the project, according to a person familiar with the matter. Henry said today that BHP continues to evaluate potential partners, including Chinese candidates, and offering few clues about the timeline of Jansen.
"The current capital that we are investing takes us to the front for a few years," said Henry. He added that the company's in no hurry to reach your goal.