K+S Aktiengesellschaft of Germany will spend $3.25 billion to build a new potash mine 50 kilometres north of Moose Jaw, Sask.
The Legacy Project is expected to be operating in 2015.
Board chair Norbert Steiner said in a news release the project, along with existing mines in Germany, will allow K+S to be globally competitive.
“Furthermore, the new site will have a positive impact on our average production costs and increase our flexibility,” he said.
The project, near Bethune, Sask., will be a solution mine, similar to the Mosaic operation at Belle Plaine, Sask. It should produce 2.86 million tonnes of potash annually by 2023.
It has proven reserves of 160 million tonnes of finished product. The company said that gives the mine a lifespan of more than 55 years.
About 1,100 construction and 300 permanent jobs will be created.
