Global population is expected to continue to grow.
Arable land per person has been steadily decreasing, thus increasing the need for higher crop yields. Global potash demand has grown at a Compound Annual Growth Rate of 3.96% from 2012 to 2021.
Current supply is tight due to recent mine closures, supply discipline from key producers, and a complex geopolitical environment.
Muga will hold an advantageous position within the premium European market, where prices are performing better than in other markets.
Prices reached historical highs during 2021-2022 amidst complex geopolitical dynamics, strong demand and tight supply conditions. Prices have since then come back to “normal” levels and stabilised from 2023 onwards, and are expected to remain at these levels through to mid-2025 where prices are expected to begin to grow. In the long term, with the global population growing, increasing demand for food and arable land decreasing this will drive the need to increase crop yields which in turn will drive demand for fertiliser and potash.
Muga is forecast to be one of the highest margin mines globally.
HIGHFIELD RESOURCES
Avenida Carlos III, 13, 1B
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Navarre, Spain
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