BHP will record a $2.3 billion impairment on its Jansen potash project in Saskatchewan following a review that identified significant cost increases and schedule delays. The mine’s Stage 2 expansion is now expected to cost $6.9 billion, roughly 30% higher than previous estimates, with first production delayed until late 2031. Combined costs for Stages 1 and 2 are now projected to reach $15.3 billion, making this the latest in a series of cost overruns for the project. Despite the challenges, BHP remains committed to Jansen as a key part of its long-term diversification strategy. Once fully operational, the mine is expected to account for approximately 10% of global potash production and remain one of the lowest-cost producers in Canada.
