Zijin Mining to take 9.9% stake in Montage Gold
As part of the deal, the Lundin Family Trust also agreed increase its stake in the company from 17.7% to 19.9%.
Oil’s downfall may get more attention but the potash industry that forms the bedrock of the Prairie mining industry is going through its own bust — and analysts say there’s no quick recovery in sight.
Potash, the lightly coloured mineral used as a crop fertilizer, is big business in Canada. Last year, producers dug out $6.7-billion worth of it, putting it second only to gold in terms of produced mineral value in the country.
But like oil, a wave of overbuilding and production increases in recent years — spurred by a spike in crop prices and a perceived demand that didn’t quite materialize — have left the market flooded with supply.
