Uralkali cuts potash output 27% in Q1
MOSCOW. April 5 (Interfax) - Uralkali reduced potassium chloride production 27% year-on-year in Q1 2012 to 1.9 million tonnes, the company said in a statement.
Uralkali, which was operating at 75% capacity in March, could produce 10.2 million tonnes of potassium chloride in 2012, less than forecast, the company's CEO, Vladislav Baumgertner, has told Interfax.
Uralkali's latest 2012 forecast is 10.5 million tonnes, but 10.2 million tonnes sounds realistic, Baumgertner said. Output might be lower still if the macroeconomic situation deteriorates, and farm produce prices and, as a result, demand for potash, fall, he said.
Baumgertner also said Uralkali worked at 50%-60% capacity in February and that it would not be working at full capacity again until May.
Uralkali originally forecast it would produce 11.3 million-11.8 million tonnes of potash his year, before lowering this to 10.5 million-11 million tonnes. Oleg Petrov, the marketing and sales director, said on March 11 that the forecast of 10.5 million tonnes might still be subject to discussion.
Uralkali merged with Silvinit last year. They produced 10.83 million tonnes of potash between them in 2011.
