Saskatchewan could see an unprecedented $43 million invested in the mining sector over the next 20 years, according to the Saskatchewan Mining Association.
Saskatchewan's Crown Investment Corp. Minister Tim McMillan said potash producers alone plan to invest $12 billion in the province within the next nine years - and that doesn't include new potash mines that have been proposed by major companies.
Mining is the province's third-largest industry, with more than 30,000 employed in the sector and $6.8 billion worth of mineral sales last year.
In 2010, the industry spent $319 million exploring for minerals, primarily for potash, coal and uranium but also gold, base metals and diamonds. "According to the forecast, another $280 million are expected to be invested in exploration this year,'' McMillan said.
The mining rush is also being seen in the urban commercial real estate markets. BHP Billiton recently moved its diamond business to Saskatoon from Vancouver, and Mosaic Potash is building its new headquarters in Regina, McMillan told reporters as Mining Week kicked off last month in Regina.
Steve Fortney, general manager at PotashCorp's Rocanville mine, said PotashCorp is spending close to $6 billion to expand its potash production, including the $2.8 billion expansion project at Rocanville scheduled for completion at the end of 2013.
Meanwhile, Vancouver-based Western Potash Corp. has proposed a giant new potash mine about 35 kilometres south of Regina. A company spokesman, however, said funding has not been assured for the $2.5 billion proposal.
from Western Investor July 2011
