PotashCorp reports sales up slightly, Q2 earnings of $201M

Higher production levels at PotashCorp's mine at Rocanville, Sask., are helping increase earnings at the company this year, according to the company's second quarter report.

Sales in the quarter of potash, nitrogen and phosphate totalled $1.12 billion, up from $1.05 billion a year agobut still down from previous years.

PotashCorp sold $461 million of potash during its second quarter, up from last year's second-quarter gross sales of $393 million.

The company says stronger potash market conditions helped increase sales and bring its second quarter earnings to $201 million.

The company also credits increased production levels at Rocanville, its lowest-cost operation, for lowering its overall production costs, which it says are on track to drop by $10 a tonne this year.

A Canpotex allocation capacity audit at Rocanville also increased PotashCorp's Canpotex sales entitlement to about 55 per cent effective July 1.

PotashCorp says its merger deal with Agrium is on track to close this fall. It had previously announced the new company will be named Nutrien.