Mosaic Announces the Completion of Investment in Bayovar Phosphate Project
by PR Newswire
PLYMOUTH, Minn., July 7 /PRNewswire-FirstCall/ -- The Mosaic Company (NYSE: MOS) announced today the completion of its previously announced investment in a joint venture with subsidiaries of Vale S.A. and Mitsui & Co., Ltd. that owns a phosphate rock mine in the Bayovar region in Peru. Terms of the investment include a 35 percent economic interest in the joint venture along with a commercial offtake supply agreement for up to 35 percent of the mine's phosphate rock production. Mosaic paid Vale $385 million for the stake in the joint venture.
"We are pleased to close this transaction that advances our strategic objective to secure our phosphate rock supply," said Jim Prokopanko, Mosaic's President and Chief Executive Officer.
About The Mosaic Company
The Mosaic Company is one of the world's leading producers and marketers of concentrated phosphate and potash crop nutrients. Mosaic is a single source provider of phosphate and potash fertilizers and feed ingredients for the global agriculture industry. More information on the company is available at www.mosaicco.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about future financial and operating results. Such statements are based upon the current beliefs and expectations of The Mosaic Company's management and are subject to significant risks and uncertainties. These risks and uncertainties include but are not limited to the predictability and volatility of, and customer expectations about, agriculture, fertilizer, raw material, energy and transportation markets that are subject to competitive and other pressures and economic and credit market conditions; the level of inventories in the distribution channels for crop nutrients; changes in foreign currency and exchange rates; international trade risks; changes in government policy; changes in environmental and other governmental regulation, including greenhouse gas regulation; difficulties or delays in receiving, or increased costs of, necessary governmental permits or approvals; the effectiveness of the Company's processes for managing its strategic priorities; adverse weather conditions affecting operations in Central Florida or the Gulf Coast of the United States, including potential hurricanes or excess rainfall; actual costs of asset retirement, environmental remediation, reclamation or other environmental regulation differing from management's current estimates; accidents and other disruptions involving Mosaic's operations, including brine inflows at its Esterhazy, Saskatchewan potash mine and other potential mine fires, floods, explosions, seismic events or releases of hazardous or volatile chemicals, as well as other risks and uncertainties reported from time to time in The Mosaic Company's reports filed with the Securities and Exchange Commission. Actual results may differ from those set forth in the forward-looking statements.
SOURCE The Mosaic Company