BHP Group plans to record a non-cash impairment charge of approximately $2.3 billion on its Jansen potash project in Canada after raising the estimated cost of the second phase of the development. The mining giant disclosed that the expansion stage of the Saskatchewan-based project is now projected to require $6.9 billion, up from the $4.9 billion forecast when it was approved in 2023. The write-down reflects higher expected capital intensity across the broader project. Despite the cost increase, Jansen remains a cornerstone of BHP's strategy to expand in the global fertilizer market and is expected to become one of the world's largest potash producers.
BHP Group LimitedBHP takes $2.3B impairment and Jansen phase 2 cost rises to $6.9B from $4.9B, increasing capital intensity.