China Threatens Russia Bid for Potash Control

Source: Bloomberg, Henry Meyer and Ilya Khrennikov (7/11/11)

"China may thwart Russian efforts to control half the potash market as Belarus sells its assets to stave off a deepening economic crisis."

Bloomberg, Henry Meyer and Ilya Khrennikov

China may thwart Russian efforts to control almost half the potash market as Belarusian President Aleksandr Lukashenko seeks to sell part of fertilizer producer Belaruskali to stave off a deepening economic crisis.

OAO Uralkali expressed interest last month in buying a stake in Belaruskali in a deal that would give the Russian company 45% of global potash production as food shortages boost demand for the potassium compound. Lukashenko, who values Belaruskali at $30B, may opt to sell a smaller holding to a Chinese company.

"The Russians realize that Lukashenko is short of cash and this is a fantastic opportunity," said Gevorgyan, a London- based analyst who focuses on the former Soviet Union. "But he's realizing that he's finding himself increasingly in Moscow's pocket, so if he could negotiate a deal and convince the Chinese to take a stake, it would be much better for him."

The potential fight for Belaruskali, which produces 15% of the world's potash, pits Russia's drive to boost its influence in the former Soviet Union against China's strategy of investing to secure raw materials it needs for a burgeoning economy.

"The situation reflects both China's increased confidence as a global player in the post-crisis world, and its fragility as an importer of natural resources," said James Beadle, an investment adviser at Societe Generale.

Chinese potash prices rose to $470 a metric ton last month from $115 in 2001, peaking at $635 in April 2008 amid concern about global food shortages.

Russia, on the other hand, "is using its economic strength to gain leverage across the former Soviet Union," said Roland Nash, chief investment strategist at Verno Capital, a Moscow hedge fund. "If you can go and buy key assets in a country, then you have a lot of influence over it."

Life Sciences Co. Receives Large Livestock Feed Order from New Client in Mexico
Source: Streetwise Reports (01/27/2021)

Avivagen Inc. reported it has secured a six tonne order for OxC-beta™ Livestock from a new customer in Queretaro City, Mexico.

Intrepid Shares Grow 40% on Positive Upward Trend for 2021 Trio and Potash Prices
Source: Streetwise Reports (12/31/2020)

Shares of Intrepid Potash Inc. sprouted to a new 52-week high after the company reported that it anticipates greater demand and higher prices for its Trio® and potash products in 2021.

Life Sciences Firm Reports Year of Record Breaking Orders
Source: Streetwise Reports (12/18/2020)

Avivagen Inc. reported FY/20 audited financial results that included a 20.5% increase in YoY revenue.

Surging Agricultural Prices, $17 Trillion and Phosphate
Source: Brian Ostroff for Streetwise Reports (11/23/2020)

Brian Ostroff, managing director at Windermere Capital and CEO of Arianne Phosphate, discusses the recent rise in agricultural commodity prices and their spillover into fertilizers.

Note to Fed: Be Careful What You Wish For
Source: Michael Ballanger for Streetwise Reports (11/23/2020)

Sector expert Michael Ballanger examines the charts for commodities like soybeans and the components used in handheld electronic devices, and reflects on what they say about the future prospects of those who hold mortgages and invest in precious metals.

Large Scale Automation Comes to Cannabis
Source: Keith Schaefer for Streetwise Reports (11/02/2020)

Keith Schaefer, the Investing Whisperer, offers his analysis of the investment proposition offered by Icanic Brands, and how its ability to generate up to 1,000 pre-rolls per hour could dramatically affect the company's bottom line.

Life Sciences Firm Lands Record 4 Metric Tons Order for Antibiotic-Free Feedstock
Source: Streetwise Reports (10/14/2020)

Avivagen Inc. reported that it has received a record purchase order for its OxC-beta™ product from UNAHCO.

Life Sciences Company Posts Record Q3 Revenue Due to Successful Recurring Purchase Model
Source: Streetwise Reports (09/09/2020)

Avivagen Inc. reported unaudited financial results for Q3/20 that included record revenue and product sales volumes that nearly eclipsed FY/19 levels.

Life Sciences Company Registers First Non-Antibiotic Livestock Feed Additive Sale in Brazil
Source: Streetwise Reports (08/12/2020)

Avivagen Inc. reported it achieved its first sale of OxC-beta™ Livestock in Brazil, the world's third largest livestock feed market.

August Approaches: Accumulation, Conversation and the Promise of Silver
Source: Michael Ballanger for Streetwise Reports (07/20/2020)

In this week's advisory, sector expert Michael Ballanger reviews the most recent market news, celebrates old-school communication techniques and offers strategies for investing in the dog days of summer.