Yes, that's a good point. I haven't thought of PotashCorp as contender of ELM takeover.
PotashCorp has interests in potash companies all around the world.
ICL Group and Arab Potash are very big producers. They each produce 3mt pa. (total 6mt)
SQM/Chile is a small producer: 650k pa.
PotashCorp owns 22% of Sinofert which the largest fertilizer distributor of China. And Sinofert owns 18.5% of Qinghai Salt lake Company. Sinochem which is the biggest chemical company in China also owns 53% of Sinofert. O PotashCorp is the partner of biggest Chinese fertilizer and chemicals companies.
I was predicting on my post which is related to BHP takeover that BHP would be interested to buy ELM for low cost production for competing with PotashCorp. So it would be interesting to see that PotashCorp would be interested in buying ELM's asset for not letting BHP to take the advantage of having an asset which would give BHP that kind of advantage.
However I don't think that BHP would leave ELM's asset to anyone, especially to PotashCorp. That would be another big mistake other than bidding late for PotashCorp.
Everything indicates that there will be a bidding for ELM's asset. That's very good for us. We would be able to find the real value of our investment for our investment.
K2P Price at posting:
$2.88 Sentiment: Buy Disclosure: Held
