Australian mining giant BHP has locked in crucial rail transport agreements with Canada’s two major rail operators, marking a significant milestone in the development of its Jansen potash mine ahead of first production.
BHP Canada Inc. has signed deals with Canadian National Railway (CN) and Canadian Pacific Kansas City (CPKC), securing the transport of potash from the Jansen mine in Saskatchewan to Westshore Terminals in Vancouver, where the commodity will be exported to global markets.
Under the multi-billion-dollar project’s new dual-rail model, the mine will connect to both the CN and CPKC mainlines via the Jansen Access Spur. The model aims to drastically improve supply chain reliability and give BHP the flexibility in delivering product to international buyers.
Both rail carriers will operate high-capacity unit trains between the mine site and the Vancouver port infrastructure. The initial contracts are set for a four-year term to support Jansen Stage 1 production, with future rail arrangements expected to line up with the next phase of the project.
“This is an exciting step forward as we prepare Jansen for first production,” said Karina Gistelinck, Asset President Potash, BHP.
“Securing rail transportation with both CN and CPKC strengthens the reliability of our supply chain and ensures we are well positioned to deliver Saskatchewan potash to global customers.”
CN Executive Vice-President and Chief Commercial Officer, Janet Drysdale, labelled the Jansen mine a generational investment for the local economy, while CPKC President and CEO Keith Creel said the railway looked forward to driving reliability across the potash supply chain.
“The Jansen potash mine project represents a generational investment in Saskatchewan and a significant opportunity for Canada’s export economy,” Drysdale said.
The move marks a major step forward in BHP’s pivot toward commodities tied to global decarbonisation and food security, adding potash, a potassium-rich salt used mainly as an agricultural fertiliser, to its core portfolio of copper, iron ore, and steelmaking coal.
