Israel Chemicals signs new potash contracts in China
The price is $60 per tonne higher than in Israel Chemicals' previous contracts with Chinese customers, Globes reports.
Israel Chemicals reported that it had signed new contracts for the supply of potash to customers in China, amounting to 905,000 tonnes, with an option to increase supply by an additional 375,000 tones. ICL will supply the potash by June 2019.
The price agreed, $290 per tonne, is $60 higher than the price in the previous contracts with ICL's Chinese customers.
ICL reported in late August that it had signed a contract for the supply of 775,000 tonnes of potash to a customer in India between September 2018 and June 2019. The quantity is similar to that agreed in the previous year, but the price, also $290 per tonne, is 21% higher, in line with the pricing of sales to the Indian market recently announced by other potash producers.
ICL also announced that the Israeli Supreme Court had denied an application for permission to appeal against a decision by the Tel Aviv District Court in January 2018 to deny a motion for discovery and perusal of documents under Section 198A of the Companies Law filed by a shareholder of the company as part of a preliminary proceeding for the filing of an application for certification of a derivative action relating to the manner of execution and termination of the Harmonization project.
ICL's share price rose 1.5% in New York on Thursday, and is currently up by more than 3% in Tel Aviv. The company's share price has risen by about 48% so far this year, bringing it t a market cap of $7.9 billion. A week ago, Citi gave ICL a "Buy" recommendation.