Quote:
Originally Posted by YXE
When you reference BHP making an announcement, is that in regards to the Jansen mine? What all do you know?
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Yea! With the Jansen mine announcement they’ll also need hundreds more head office jobs that I assume will all be based in Saskatoon - to ensure potash royalties stay the same. I assume the original plan was to build a secondary building attached to their existing small head office in Saskatoon - hence that 2013 announcement by North Prairie - I assume the commercial tower in that announcement was for BHP.
Unfortunately an activist investor Elliott Management, plus low oil prices and a terribly timed oil asset buy by BHP hindered its cash flow over the past 7 years to resume the large amount of long term investments like Jansen. Those headwinds seem to be over and the new leadership team sees potash as a suitable investment- despite prices being historically low at the moment.
I assume we’ll see an announcement in the next 12 months. They will want to cozy with the province on a head office announcement as well just to ensure potash royalties stay out of the conversation. Just like how Nutrien’s head office is now taller than Mosaic’s - i’d love to see some competition with BHP by ditching their current head office now that the lease must be close to done, and leasing on a new build by the whole commercial team that did River Landing which can easily offer better psf pricing than North Prairie which has no experience with large commercial builds. Would be fascinating to see that Movie Theatre parking lot on 2nd get developed, and having a whole intersection of mining co’s on that corner! NexGen in River Centre, Nutrien in Nutrien Tower, BHP in a new build, and a new Rare Earth extraction company in the other corner that’s a parking lot for the provincial courthouse