Nutrien Curtails Production at Cory Potash Mine Due to Port Workers Strike

Nutrien Ltd. said it has curtailed production at its Cory potash mine due the port workers strike in Vancouver that is also raising concerns from businesses nationwide.

The fertilizer producer said Tuesday that the strike has meant the loss of export capacity through Canpotex’s Neptune terminal. It says that if the work stoppage continues it could affect production at its other potash mines in Saskatchewan.

Nutrien chief executive Ken Seitz urged both sides in the dispute to come to a swift resolution.

About 7,400 members of the International Longshore and Warehouse Union Canada in Vancouver have been on strike since July 1. They say they’re fighting for protections against contracting out work and automation, as well as pushing for higher wages.

Survey results released Tuesday by the Canadian Federation of Independent Business found 53 per cent of business owners believe the strike will affect their operations.

Three quarters of businesses are also calling on the federal government to pass back-to-work legislation to end the strike quickly.

Business owners expressed concerns about critical shipments stuck at the port and delays in deliveries needed to complete projects on time.

“Supply chains have just started to recover from the disruptions caused by the pandemic, so many businesses will feel this latest setback extra hard,” said CFIB president Dan Kelly in a press release.

“We’re hearing from members across the country who are worried about missing critical sales, delayed production or orders or an inability to get their products to export markets because of the strike. The federal government must step in and get shipments moving again as quickly as possible.”

Nutrien said it expects full-year potash adjusted earnings before interest, taxes, depreciation and amortization will fall below the bottom end of its guidance range due to factors impacting offshore sales through Canpotex, including the strike, a Portland terminal outage and lower than anticipated prices.

The company said it will provide updated guidance for its full year when it reports its second-quarter results on Aug. 2.