BELLE PLAINE - Optimism was the key word at an event last week highlighting the potential economic growth from potash and critical minerals in Aaskarchesan.
On Wednesday Minister of Energy and Resources Colleen Young and other government officials toured the Mosaic Belle Plaine facility alongside representatives from Mosaic and the mine.
Officials toured the mine site, including a warehouse containing a pile of potash that just came out of the ground. The mine itself is touted as the largest solution potash mine in the world.
Minister Young pointed to Saskatchewan being the “world's leading potash producer accounting for about one-third of global supply. We set a record last year producing over 15.1 million tons potassium oxide of potash, an eight percent increase from the previous year, and we are also seeing new momentum in other areas such as helium, lithium, copper and zinc. “
The message of the day was to tout efforts by the province to fully unleash the industry’s potential and get products to the port of Vancouver, and turn the province into an energy superpower. Getting products reliably to market is a main challenge that officials in the potash industry wants to see addressed.
“Our facilities produce millions of tons of potash each year, but our limiting factor is how much product we can get to market,” said Marnel Jones, Mosaic's Director of Government and Public Affairs.
“To that point, Canadian port and rail infrastructure is crucial for resource companies like ours to reach our customers around the globe. We are pleased and encouraged to hear so much conversation by the federal and provincial governments in support of trade enabling infrastructure so we can unlock our full potential as an economic critical minerals powerhouse right here in Saskatchewan.”
But there have been other headwinds facing the potash industry. One is the ongoing tariff situation between the USA and Canada.
Jones said her industry has been “advocating for our potash industry on both sides of the border.”
Right now all their potash is CUSMA complaint, she said, “so we are not experiencing any tariffs and we're going to continue to advocate for that to be the case. We don't believe that any fertilizer product should be tariffed, as it's meant for humanitarian purposes to grow food. And we're going to continue to be pushing for that on both sides of the border.”
When asked about the price for potash, Jones noted it was stable at the moment.
“That's kind of where we like them to be. It's in a stable place, not what we saw back in the period when the Ukraine was invaded by Russia. We saw sky-high potash prices. And that's not actually very conducive to the market or to producers in the long term.”
The tour at Mosaic Belle Plaine was about more than just potash. It was also about spotlighting Saskatchewan’s importance in the critical minerals sector, of which potash was one out of 27.
Young pointed to Saskatchewan being Canada's largest helium producer, with over $500 million dollars in investment, and “the first commercial lithium production is expected later this year, and copper and zinc are not that far behind.”
The province also spotlighted provincial programs aimed at development, including expansion of their targeted mineral exploration incentive to include more early stage exploration activities, as well as introduction of the new Saskatchewan critical minerals innovation incentive.
“These programs continue to see great success and positive feedback from industry and at the end of the day this isn't just about global markets or industry headlines, it's about the people right here in Saskatchewan,” said Young. “When our resource sectors grow, so do opportunities for families, workers and communities across the province and when we talk about resource projects, we're talking about creating good jobs, boosting investment in local businesses and strengthening the services that Saskatchewan residents rely on.”
There are challenges with the critical minerals sector as well. Young was asked by reporters what more could be done for the industry in the wake of the bankruptcy of the Vital Metals rare earth plant in Saskatoon.
“That's a conversation that we'll need to have with that industry and those folks as we move forward,” Young said.
It was also a chance to spotlight the mining sector as a whole. But Pam Schwann, President of Saskatchewan Mining Association, pointed to another challenge facing mining in general: that of a need for a “skilled and talented workforce” to support the growth.
Schwann pointed to new mining operations coming that will start producing critical minerals, potash, uranium, copper, zinc, and lithium. She also pointed to a recent labour market study done with the Mining Industry Human Resource Council that indicated an additional 15,000 new workers would be needed in the next decade.
“One of the challenges we're looking at and working with is trying to address career attraction for the younger generation and making sure they know about the careers in the mining sector,” Schwann told reporters.
“So making sure they know the innovation, the safety, the opportunity to travel.
We have global mining leaders. You could work anywhere in the world for these companies. Great paying jobs. Or you can work and have an affordable lifestyle within Saskatchewan as well. So just making sure they know about the career opportunities.”
Schwann noted in her remarks at the event that the mining sector continues to be one of Saskatchewan's pivotal economic drivers, directly employing over 11,000 people with an annual payroll over $1.7 billion.
She welcomed the recent changes to the targeted mineral exploration incentive program, and pointed to the importance of critical minerals around the world.
“There is an increased awareness of the importance of critical minerals in our everyday life, whether it is through food, energy, or technology. Your smartphones, your iPhones, Samsung, they all have over 40 different minerals within them. There's a universal and refreshing awareness amongst governments and public of the geopolitical importance of reliable and secure supply chains and trading partners for critical minerals.”
