mak may be too late

Morocco is going to increase phosphate production by 25 million tonnes to reduce the price from an investment of only $4 million.

2008-06-03

Morocco's Office Cherifien des Phosphates (OCP) plans to increase production and cut the rising price of phosphates, OCP General Director Mostafa Terrab announced on Monday (June 2nd). Using an estimated $4m in investment, Morocco plans to increase phosphate production from 30 to 55 million tonnes per year. Terrab said the measure is expected to bring phosphate prices down from the current $300 per tonne to $100. Morocco owns an estimated 50 to 71% of the world's phosphate reserves.

In the years or so this will bring prices down regardless of increase in demand. By the time mak gets into production prices will likely be around $200

Mak should make some money but not the numbers some guys are stating on the site. The world has to afford the food to eat.

Not trying to downramp share as mak has other assets but at current mak price believe share is more than fully valued.