ICL (TASE: ICL: NYSE: ICL) today reported that it has signed framework agreements for supply of potash to its customers in China for the next three years (2022-2024). ICL added that prices for the quantities to be supplied according to the framework agreements will be set according to the prevailing market prices in China at the relevant date of supply.
As part of the 2022-2024 Chinese Agreements, ICL said that it has signed contracts with its customers in China to supply 700,000 metric tons of potash, with mutual options for additional 250,000 metric tons, to be supplied by the end of 2022.
The agreed selling price in the contracts is $590 per ton. In other words ICL will receive $413 million for 700,000 metric tons with a further $147.5 million if the option for the 250,000 metric tons is taken up.
The average price per ton that ICL earned in 2021, according to its financial report, was $337.
ICL's share price closed up 0.99% on Wall Street yesterday at $10.20, giving a market cap of $13.129 billion. The company's share price is currently 2.45% higher.
Published by Globes, Israel business news - en.globes.co.il - on February 17, 2022.
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