BHP's $14 billion Jansen potash becomes latest victim of commodities rout

After months of speculation, BHP Billiton’s (ASX:BHP) massive potash project in Canada has finally begun feeling the impact of a sustained rout in commodity prices, as the world’s biggest miner has confirmed it is reducing spending on the Saskatchewan-based asset this year.

Speaking to Bloomberg, the president of BHP’s Canadian unit Giles Hellyer said the company has cut $130 million from the planned $330 million capital expenditure to develop and study the feasibility of the Jansen project in the current financial.

“We re doing more with less,” Hellyer told Bloomberg. “The intent is to be a lot more effective and efficient in what we’re doing and complete the work over a slightly longer time horizon.”

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