Legacy Project - Saskatchewan Mining Association

K+S Potash Canada GP
Legacy Project
May 28th, 2013
K+S Group
K+S is the Leading Player in its Markets
Potash and Magnesium Products
One of the leading suppliers worldwide
Potash
!!
!!
Leader in Europe
Fifth-largest producer worldwide
Sulphate of potash and
magnesium sulphate
!!
Leading position worldwide
Salt
The leading supplier worldwide
Europe
!!
With esco No. 1 in Europe
South America
!!
With SPL No. 1 in South America
North America
!!
With Morton Salt, Windsor and ISCO one of
the leading suppliers in North America
Sources: IFA, Roskill, K+S
The K+S Legacy Project
Presence of K+S in Canada today
09.03.2011, TOP 9
Legacy Project
Why is the Legacy Project an important strategic step?
!! Adding substantial new capacities to the Potash and Magnesium Products
Growth
business segment in a relatively short timeframe to be able to participate in
the growth of the world potash market
!! Improvement and flexibilisation of average cash costs of production in the
Production Costs
Capacity and
Mine Life
Potash
and Magnesium Products business segment
!! Substantial addition of annual capacity by up to 4 million tonnes in the long run
!! Substantial extension of average mine life
!! K+S will be the potash producer with the widest product portfolio as well as
Diversification
Specialisation
Flexibility /
Expansion Potential
one of
the most diversified production networks and regional mix; share of sales
volumes in the growth markets South America and Asia will increase
!! Continuation of the specialisation strategy by offering high-quality industrial
products from Canada
!! Good scalability of capacity utilisation according to market development
!! Improved flexibility due to higher share of variable costs
!! Further expansion potential beyond the Legacy Project
The K+S Legacy Project
Legacy Project - Overview
"! Friendly takeover of Potash One in early 2011
(several potash exploration permits in Saskatchewan/Canada incl. the Legacy Project and its feasibility study)
"! Resulted in the creation of K+S Canada GP, a wholly-owned subsidiary
"! The Legacy greenfield project will produce potash on the basis of solution
mining
"! Production to reach an output of 2.86 million tons/yr by 2023
The K+S Legacy Project
Impressions Project Realisation (I)
First Fill Raw Water Pond
Completion Water Intake
Buffallo Pound Lake
Pad 1
The K+S Legacy Project
Impressions Project Realisation (II)
Preparation Pad 2
Begin major Earthworks
Preparation Pad 2
The K+S Legacy Project
Impressions Project Realisation (III)
Site Preparation for batch plant
Pad 2/3 Power supply Trenching
Installation
Site Drainage Ditch
The K+S Legacy Project
Impressions Project Realisation (IV)
Rig 1 successfully commissioned and drilling since Febr. 2013