BHP Group increased the investment estimate for Stage 2 of its Jansen potash project in Saskatchewan to US$6.9 billion. This revision marks a US$2 billion increase from the previous US$4.9 billion budget. The company attributed the rise to additional construction hours, higher material quantities, and price escalation.
BHP expects to recognize a US$2.3 billion impairment charge in its 2026 financial results. First production for Stage 2 is now anticipated in late fiscal year 2031. This schedule follows a two-year extension announced in August 2025.
The project maintains an expected internal rate of return of 11%. BHP projects a payback period of eight years. Stage 1 remains on track for first production in mid-2027.