BHP hikes cost of Jansen potash mine project in Saskatchewan by US$2 billion

The Jansen potash project in Saskatchewan is shown in this undated handout photo. THE CANADIAN PRESS/Handout - BHP (Mandatory Credit)

SASKATOON — Global mining giant BHP says the second phase of its Jansen potash mine is expected to cost 40 per cent more than previously expected.

The Australia-based company says it now estimates a price tag of US$6.9 billion, up from the US$4.9 billion it had anticipated when it was approved in 2023.

BHP is expecting first production in late 2031 from the mine east of Saskatoon, later than its original expected startup date of 2029.

It says the two-year extension, announced in August of last year, has allowed the miner to review its cost and schedule estimates.

BHP says once Jansen Stage 2 ramps up, it expects it to have the lowest unit costs among Canadian miners of potash, a high-demand mineral used as a fertilizer.

At the end of May, Jansen Stage 2 was 16 per cent complete, with engineering 83 per cent complete.

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“With the reset of Jansen Stage 2, we are progressing with our intention of building a Tier 1 asset,” said Brandon Craig, BHP’s president for Americas and CEO-elect.

“The combined Jansen Stage 1 and 2 will be a low cost, long life asset with almost 60 year mine life and is expected to generate benefits for shareholders for decades. Once operational, Jansen will establish BHP as a leading player in the global potash industry.”

This report by The Canadian Press was first published June 19, 2026.