💙 🔷 Not impressed by Big Tech in Q3? Explore these Blue Chip Bargains insteadExplore for free

UPDATE 1-New Uralkali shareholder wants to restore Russia-Belarus potash alliance

Published 2016-07-11, 06:07 a/m
© Reuters.  UPDATE 1-New Uralkali shareholder wants to restore Russia-Belarus potash alliance

(Adds details, background)
By Andrei Makhovsky
MINSK, July 11 (Reuters) - The Belarussian businessman who
last week acquired a 20 percent stake in Russian potash producer
Uralkali said on Monday it would be in everyone's interest to
restore an alliance between Uralkali and Belarus, the world's
two biggest potash miners.
Uralkali and the Belarussian Potash Company (BPC) used to
cooperate with each other, helping to manage supplies and
underpin prices. This arrangement broke down in 2013, triggering
a fall in world potash prices.
Russian businessman Mikhail Prokhorov's Onexim Group sold
its 20 percent stake in Uralkali to Belarusian businessman
Dmitri Lobyak last week.
Speaking by phone to Reuters, Lobyak said "Everyone has a
desire (to restore the alliance between Uralkali and BPC). This
would be in everyone's interest."
The share deal does not automatically mean the alliance is
back on, because Lobyak does not control BPC, which is
state-owned, and he has only a minority stake in Uralkali.
In June, Belarus agreed to sell potash to India at the
lowest price in a decade and about a third less than last year's
level as global supplies of the crop nutrient exceed demand.
At the time, Uralkali said that the price offered by Minsk
was too low, while the managing director of Indian Potash
Limited, the country's biggest importer, said he expected other
potash miners to offer decade-low price after that deal.

Belarus President Alexander Lukashenko said last month that
his country might cooperate with Uralkali again.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.