Mosaic will sell its Carlsbad potash mine for $30 million, exiting New Mexico to focus on core Canadian operations.
The Mosaic Company has announced plans to divest its Carlsbad potash mining operations in New Mexico as part of a strategic move to streamline its asset portfolio and concentrate on higher-return core operations in Canada. The company will sell its Carlsbad potash mine and associated businesses for a total consideration of $30 million, effectively ending its potash production presence in New Mexico after decades of activity in the region.
According to Mosaic, it has entered into a definitive agreement to sell its wholly owned subsidiary, Mosaic Potash Carlsbad, Inc, to International Minerals Carlsbad, LLC. The transaction encompasses the entirety of Mosaic’s Carlsbad operations, including mining assets, operational facilities, and all related liabilities. In addition, the sale includes Mosaic’s potash and water business interests in New Mexico, as well as intellectual property assets tied to the operation, notably the K-Mag and Dynamate fertilizer brands.
Under the agreed terms, Mosaic will receive $20 million in cash at the time of closing, subject to standard closing adjustments. The remaining $10 million will be paid through deferred consideration, structured as three equal annual installments beginning in 2029. As part of the transaction, International Minerals Carlsbad will assume responsibility for the asset retirement obligations associated with the Carlsbad mine, relieving Mosaic of long-term environmental and reclamation liabilities linked to the site.
Mosaic stated that the transaction is expected to be completed during the first half of 2026, pending customary regulatory approvals and closing conditions. The company also disclosed that it anticipates recording a non-cash asset impairment charge related to the divestment in the fourth quarter of 2025, reflecting the book value adjustment of the Carlsbad assets ahead of the sale.
Commenting on the deal, Mosaic Executive Vice President of Operations Karen Swager described the agreement as beneficial for all stakeholders involved. She emphasized that the transaction ensures operational continuity for employees currently working at the Carlsbad site while allowing Mosaic to further sharpen its strategic focus. With this divestment, Mosaic’s potash production will be entirely concentrated in Saskatchewan, Canada—an area the company views as central to its long-term growth strategy and profitability.
Swager added that Mosaic’s Canadian potash operations are expected to continue delivering strong financial returns, supported by scale, efficiency, and favorable resource characteristics. The exit from New Mexico aligns with the company’s broader effort to allocate capital toward assets with the highest competitive advantage.
For International Minerals Carlsbad, the acquisition represents a long-term commitment to one of the most historically significant potash-producing regions in the United States. Chief Executive Officer Sergio Saenz said the company is enthusiastic about continuing and expanding the legacy of potash mining in New Mexico, which spans more than a century. He described the transaction as an important opportunity to build a sustainable and enduring business in the region.
Chief Commercial Officer Kelvin Feist reinforced this view, noting that the company’s immediate priority is to ensure a smooth transition for employees, customers, suppliers, and other stakeholders. He highlighted International Minerals Carlsbad’s commitment to maintaining reliable operations and fostering strong relationships across the value chain as it takes ownership of the Carlsbad assets.
