Federal government commits $100 million to BHP’s new $7.5 billion potash mine at Jansen, Sask.

BHP CEO Mike Henry alongside MInisters Bibeau and Champagne in Saskatoon on Monday morning (Facebook Live screenshot)

The Canadian government is contributing up to $100 million to minimize the carbon emissions from BHP’s new $7.5 billion potash mine at Jansen, Saskatchewan.

The federal contribution from the Strategic Innovation Fund was announced by François-Philippe Champagne, Minister of Innovation, Science and Industry, and Marie-Claude Bibeau, Minister of Agriculture and Agri-Food, alongside BHP’s CEO Mike Henry, Ragnar Udd, head of BHP’s mineral operations in the Americas, and other company executives in Saskatoon, on Monday.

“It is essential that agricultural producers in Canada and around the world have access to the inputs that ensure their productivity. Our government’s investment in the world’s greenest potash mining facility will help our farmers feed a growing world population. It will also solidify our country’s position as a major fertilizer producer and our reputation as a trusted exporter,” noted Minister Bibeau.

The company said it will use the funds to purchase electric rather than diesel machines, and other equipment that will operate with lower emissions.

“Our work here in Saskatchewan on Jansen Stage 1 is setting a new standard for potash—not just for Canada, but around the globe,” said Udd.

BHP announced plans in August 2021 to move ahead with the Jansen Stage 1 project. The first stage is slated to be operational by 2027 — potentially late 2026, with initial capacity for 4.3 to 4.5 million tonnes of potash annually — a 22 per cent increase to Canada’s total production.

Henry said work is also underway on plans for the second of four possible stages at the mine.