The company is adding production capabilities for sulphate of potash (SOP) fertilizer at its Chaplin, SK facility.

John S. Forrester, former Managing Editor

May 11, 2021

1 Min Read
SMMI Injects $181M into Sodium Sulphate Plant Upgrade

Sodium sulphate supplier Saskatchewan Mining and Minerals Inc. (SMMI) is preparing to launch a CAD $220 million (about $181.9 million) expansion project at its Chaplin, SK plant to add production capabilities for sulphate of potash (SOP) fertilizer, according to a recent release issued by the Government of Saskatchewan.

The provincial government issued a release on May 5 providing details on the upgrade and expressing its support for the project. Once operational, the facility will produce about 150,000 mt/yr of SOP that will be sold in North American and international market for plant nutrition and fertilizer applications.

“The Saskatchewan government clearly understands the immediate and long-term role that rural projects such as ours can play in strengthening and building Saskatchewan’s economy as we emerge from the COVID-19 pandemic,” said SMMI’s president Rodney McCann in a statement. “Their active and ongoing support for our SOP upgrade is critical to it moving forward in these uncertain times and a clear demonstration of their commitment to making their 10-year Growth Plan for Saskatchewan a reality.”

SMMI’s upgrade at Chaplin received conditional approval for the new Sodium Sulphate initiative that gives companies a 10% credit for capital projects that expand their product offerings or improve efficiency. The project also was conditionally approved for a non-refundable, non-transferable 15% tax credit on capital expenditures valued at CAD $10 million or more through the province’s Saskatchewan Chemical Fertilizer Initiative (SCFI).

The company has produced sodium sulphate at the Chaplin site for more than seven decades, according to the province’s release.

Construction is slated to begin by late 2021, according to an earlier release issued by the company. Work is expected to conclude by the end of 2023.

About the Author(s)

John S. Forrester

former Managing Editor, Powder & Bulk Solids

John S. Forrester is the former managing editor of Powder & Bulk Solids.

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