PotashCorp Announces Agreement in Principle for Acquisition of Additional SQM Shares Listed: TSX, NYSE Symbol: POT SASKATOON, SK, Dec. 12 /PRNewswire-FirstCall/ -- Potash Corporation of Saskatchewan Inc. (PotashCorp) today announced that it has reached an agreement in principle with Israel Chemicals Ltd. (ICL) to acquire ICL's entire interest in a Cayman Islands subsidiary for a purchase price of US $100.4 million. The Cayman Islands subsidiary indirectly holds approximately 19.2 million Series A and 2.7 million Series B shares in Sociedad Quimica y Minera de Chile SA (SQM), a Chilean specialty fertilizer, iodine and lithium company, of which PotashCorp currently holds approximately 20 percent of the outstanding equity. The transaction is subject to completion of a definitive agreement and PotashCorp and ICL board approvals. Potash Corporation of Saskatchewan Inc. is the world's largest fertilizer enterprise producing the three primary plant nutrients and a leading supplier to three distinct market categories: agriculture, with the largest capacity in the world in potash and third largest in phosphate and nitrogen; animal nutrition, with the world's largest capacity in phosphate feed ingredients; and industrial chemicals, as one of the largest global producers of industrial nitrogen and industrial phosphate products. This release contains forward-looking statements, which involve risks and uncertainties, including those referred to in the company's annual report to shareholders for 2003 and in filings with the U.S. Securities and Exchange Commission and Canadian provincial securities commissions. A number of factors could cause actual results to differ materially from those in the forward-looking statements, including, but not limited to, fluctuation in supply and demand in fertilizer, sulfur and petrochemical markets; changes in competitive pressures, including pricing pressures; risks associated with natural gas and other hedging activities; changes in capital markets; changes in currency and exchange rates; unexpected geological or environmental conditions; and government policy changes. DATASOURCE: Potash Corporation of Saskatchewan Inc. CONTACT: Betty-Ann Heggie, Senior Vice President, Corporate Relations, Phone: (306) 933-8521, Fax: (306) 933-8844, E-mail: ; Web Site: http://www.potashcorp.com/

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