DENVER, Jan 28, 2009 (BUSINESS WIRE) -- Intrepid Potash, Inc. (NYSE:IPI) today announced that it has taken
precautionary steps to further control potash and langbeinite production
and inventory at its Carlsbad, New Mexico facilities. Intrepid is taking
these steps due to the continuing market conditions which have resulted
in lower sales volumes of potash and langbeinite, which began in the
fourth quarter of 2008, and has continued into 2009.
Intrepid is planning on implementing a two-week temporary plant shutdown
beginning mid-February at our West and North Carlsbad facilities and a
sequential two-week temporary plant shutdown beginning later in the
month at our East Carlsbad facilities. Currently, these temporary
shutdowns are planned to commence February 9, 2009, and end March 9,
2009. During these periods, Intrepid will utilize a portion of the
workforce to conduct on-going maintenance work and critical capital
projects.
The Company is also planning to reduce operations to three crew shifts
from four crew shifts upon return from the shutdowns, all the while
monitoring the market for signs of recovery that may mitigate this
reduction longer term. Part of this reduction will be achieved via
elimination of certain contract labor so as to minimize the impact on
Intrepid employees.
While Intrepid anticipates that this reduction in our production rates
to be short-lived, the timing of market demand and sales conditions will
ultimately drive the level of production at our facilities.
Intrepid does not currently contemplate any similar measures at our
Moab, Utah facility, however we are adjusting the production schedule at
our Wendover, Utah facility to perform maintenance earlier than usual.
The Company routinely posts important information about the Company on
its website under the Investor Relations tab. The Company's website
address is www.intrepidpotash.com.
Certain statements in this press release, and other written or oral
statements made by or on behalf of us, are "forward-looking statements"
within the meaning of the federal securities laws. Statements regarding
future events and developments and our future performance, as well as
management's expectations, beliefs, plans, estimates or projections
relating to the future, including statements regarding guidance, are
forward-looking statements within the meaning of these laws. Although we
believe that the expectations reflected in such forward-looking
statements are based upon reasonable assumptions, there can be no
assurance that our expectations will be realized. These forward-looking
statements are subject to a number of known and unknown risks and
uncertainties, many of which are beyond our control that could cause
actual results to differ materially and adversely from such statements.
These risks and uncertainties include: changes in the price of potash or
langbeinite; operational difficulties at our facilities; changes in
demand and/or supply for potash or langbeinite; changes in our reserve
estimates; our ability to achieve the initiatives of our business
strategy, including but not limited to the development of the HB Mine as
a solution mine; changes in the prices of our raw materials, including
but not limited to the price of natural gas; fluctuations in the costs
of transporting our products to customers; changes in labor costs and
availability of labor with mining expertise; the impact of federal,
state or local government regulations, including but not limited to
environmental and mining regulations; competition in the fertilizer
industry; declines in U.S. or world agricultural production; declines in
oil and gas drilling; changes in economic conditions; adverse weather
events at our facilities; our ability to comply with covenants inherent
in our current and future debt obligations to avoid defaulting under
those agreements; continued disruption in credit markets; governmental
policy changes that may adversely affect our business and the risk
factors detailed in our filings with the Securities and Exchange
Commission. Please refer to those filings for more information on these
risk factors. These forward-looking statements speak only as of the date
of this press release, and we undertake no obligation to publicly update
or revise any forward-looking statement, whether as the result of future
events, new information or otherwise.
SOURCE: Intrepid Potash, Inc.
Intrepid Potash, Inc.
William I. Kent, 303-296-3006
Copyright Business Wire 2009