BHP raises Jansen stage two cost estimate to $6.9bn after review
BHP has significantly revised its investment estimate for Stage Two of the Jansen potash project in Canada, increasing it by $2 billion to $6.9 billion, a substantial jump from the initial $4.9 billion forecast. This cost escalation is accompanied by a two-year delay, pushing the expected first production from this stage to late financial year 2031, with the company attributing the changes to higher construction hours, material quantities, and inflationary pressures identified during a detailed review. Despite these adjustments, BHP maintains its long-term output forecast for Jansen and underscores the project's strategic importance in diversifying its portfolio into future-facing commodities.
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