If we are not seeing the bigger picture then neither are the analysts at BMO and Salman that are pointing out that the high costs seem to be putting off the Indians and Chinese.
And Wpx can not ship potash to Asia for $130 a ton. The figure is $167.76 and that does not include interest costs on $5billion or shipping costs.
and I am extremely sceptical that they can say they can produce granulated at that price.
Jerichoj- if u have a link to the 8% return figure for K&S that you referenced in your post today, please could u post it here.
Initial CAPEX1
$2.91B CAD
Deferred CAPEX2
$0.39B CAD
Contingency and Escalation included in CAPEX
$0.55B CAD
$62.28 CAD/t at full production capacity
Sustaining CAPEX
Wellfield =$28.49 CAD/t, Plant & Site =$17.99 CAD/t at full production capacity
Rail and Port Cost4
$59.00 CAD/t