Regina Construction II

[dsim249]

Originally Posted by Stormer

The office in EP is likely just an operations facility rather than their admin office. Vale's potash permit areas are right there just east of Regina. See Kenecott on the map below. These are now Vale's permits. Source: Potash1.com

I am not really familiar with this stuff either, but I'm wondering why I've never even heard of Potash One or Kennecott. Why do they not have the same public presence as Mosaic, Potash Corp and BHP, for example.

[brithgob]

They're junior companies that don't actually have any mines... yet. Potash One is gearing up to start developing a solution mine just north of the Mosaic Belle Plaine mine.

EDIT: This appears to be a more up to date map. What were Kennecott potash rights are now Vale.



Source

[thefourthtower]

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[Nathan]

Originally Posted by thefourthtower

regina project The Regina project is located in Saskatchewan Province, Canada, and is currently the subject of a pre-feasibility study. Estimated potential production is 2.8 million metric tons of potash per year. Start-up is expected in 2015.

http://www.vale.com/en-us/o-que-fazemos/mineracao/potassio/projetos/pages/default.aspx

You really need to start referencing where you are taking quotes from. If you don't the moderators will probably start just deleting your posts (since it's in the rules). I'm just warning you so you know what is going on if it starts to happen...

[Stormer]

Originally Posted by thefourthtower

From what i heard they found major deposits just east of regina

Those deposits were found 50 years ago. Almost the entire southern part of the province has significant potash. What Vale is doing is seismic testing and drilling test wells to confirm the characteristics of the surrounding deposits in order to plan exactly how they will layout their solution mine and whether it is technically and economically feasible. In a solution mine the potash is dissolved with hot water and brought up in wells to a surface plant. There is no shaft or miners. Mosaic does this at Belle Plaine.

The area around Regina is only suitable for solution mining due the geology. Potash One (Bethune area) and Western Potash (Milestone) also want to build solution mines if someone will give them the $3B needed to build one.

[Chaps]

Originally Posted by Stormer

Those deposits were found 50 years ago. Almost the entire southern part of the province has significant potash. What Vale is doing is seismic testing and drilling test wells to confirm the characteristics of the surrounding deposits in order to plan exactly how they will layout their solution mine and whether it is technically and economically feasible. In a solution mine the potash is dissolved with hot water and brought up in wells to a surface plant. There is no shaft or miners. Mosaic does this at Belle Plaine.

The area around Regina is only suitable for solution mining due the geology. Potash One (Bethune area) and Western Potash (Milestone) also want to build solution mines if someone will give them the $3B needed to build one.

So I've always thought of potash as a "Saskatoon play." Likely due to the fact that PotashCorp is located there, so I assumed it was because the potash was located more north.

But with Mosiaic setting up H.O. in Regina, BHP, Potash One, Vale, and others wanting mines around Regina...am I wrong in the above assumption? Is Regina about to become the potash capital?

[Stormer]

Originally Posted by Devon

Hey Stormer,


I'm not really familiar with any of this stuff. Are these areas that these companies can dig a mine at anytime or what exactly do these mean? If so, that's a lot of land and a lot of Potash in the Regina area!

The map just shows the exploration permits that have been granted by the government. There is a similar map for the Saskatoon area (see below) and also the Rocanville - Esterhazy area. In order to preserve their exclusive permit areas these companies must spend money or exploration and development or they will expire. They can keep renewing them inf they keep spending money. In order to actually build a solution mine they have to apply to convert to a mine permit and need all sorts of other government permits, in particular relating to environmental and water. They must also acquire surface rights or outright purchase the surface titles from farmers for their surface facilities.


source:
www.lionenergycorp.com

[Stormer]

Originally Posted by Chaps

So I've always thought of potash as a "Saskatoon play." Likely due to the fact that PotashCorp is located there, so I assumed it was because the potash was located more north.

But with Mosiaic setting up H.O. in Regina, BHP, Potash One, Vale, and others wanting mines around Regina...am I wrong in the above assumption? Is Regina about to become the potash capital?

The traditional shaft mines are all around Saskatoon and then running down east to Esterhazy. Shaft mines are great in the long term because the cost of production is way lower. The problem is the capital cost. Not many complanies can afford the $12B and 7 years they are saying Jansen will cost BHP. Solution mines supposedly only cost $2.5-3B and only take 3 years for a small mine. The cost of production is higher but the risk should be alot lower. Also with long term natural gas cost expected to be lower, this might help the economics of solution mines as they us a lot of gas to heat the solution.

[jigglysquishy]

Hopefully Vale investing $3B+ in Regina area means they'll locate some major offices in downtown Regina.

Hill Tower IV anyone?

[thefourthtower]

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[thefourthtower]

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[thegreattait]

I believe the foundation on that project has already started.

Can someone PM me on how to post pictures. I can see this site from my balcony so I should be able to take some ongoing shots as this small project goes up.

[CCF]

They have to be hosted on another site e.g. photo bucket.

You can't directly upload pictures to this site.

[1ajs]

is the transcanada allways foggy like this?

[Stormer]

Another potash HQ for Regina. The Legacy project is near Bethune.

http://www.theglobeandmail.com/globe-investor/ks-agrees-to-buy-potash-one/article1808321/

[thefourthtower]

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[Chaps]

Originally Posted by Stormer

Another potash HQ for Regina. The Legacy project is near Bethune.

http://www.theglobeandmail.com/globe-investor/ks-agrees-to-buy-potash-one/article1808321/

Is it Regina for sure? It just says "Saskatchewan" in the article. I guess an assumption can be made based on the location of the mines.

[Stormer]

Originally Posted by Chaps

Is it Regina for sure? It just says "Saskatchewan" in the article. I guess an assumption can be made based on the location of the mines.

I don't see Saskatooon in this map of their properties so I would be surpised if it was not Regina.

[thefourthtower]

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[Stormer]

Originally Posted by thefourthtower

Would some of these be head office jobs , plus with the balkin oilfiels south of regina the province is looking good for investors

Its a "project HQ", so not a true head office. Worldwide head office is in Germany. There should be numerous admin and technical jobs including HR, tax, accounting, engineering, safety, environmental, etc. Some of this could be at the mine site.

This is form K+S's news release":
Potash One holds several potash exploration licenses in the Canadian province of Saskatchewan, including the Legacy Project – an advanced greenfield project to develop a potash solution mine. K+S estimates production capacity of up to 2.7 million tonnes of potassium chloride per year. The realisation of this production capacity would represent an approximately USD 2.5 billion capital investment into Saskatchewan and create up to 300 highly-skilled jobs. The project headquarters will be located in Saskatchewan, Canada. K+S expects initial production no earlier than 2015.