Phosphate would surely be on the radar of these large miners with the unrest building in North Africa. All of the sudden the location of resources outside of these increasingly unstable areas starts to add value.
The Georgina Basin in Australia is ripe for a vertically integrated fertilizer production base. It has everything. Developing infrastructure for bulk, rail hub, access to cheap and reliable supplies of natural gas for ammonia production, access to sulphuric acid from the minerals sector and is located in a country where soverign risk has been defined with the introduction of a mining tax. Other countries have yet to make it clear how accessing their resources will cost in the uncertain future. Not to mention the NT is a lower cost gateway to India and China that North America.
Even with the dilution that has occurred and will be required into the future to get the main players into production it will still present limited opportunities for investors given the overall liquidity floating about the fertilizer sector is a pinch in the ocean compared to other mineral resource projects, yet it is the only one 100% aligned to the food is scarce story. Could they test their 2008 highs? Its possible but most would be happy with 50% because it is still 100% of where we are now ... good luck ...
