Announcing cost cutting initiatives, Intrepid Potash will eliminate approximately 7% of its workforce, including capital-project-related support associated with the company’s major capital projects, which are nearly complete. Additional cost-savings measures involve decreases in executive compensation, reduction in the use of outside professionals, and cutbacks in other general and administrative expense items.

Intrepid estimates saving approximately $15 million annually from these initiatives. The workforce reduction is expected to result in a first quarter 2014 pre-tax charge of approximately $1.5 million to $2 million.

Intrepid President Dave Honeyfield called them “difficult, but necessary decisions,” adding that “We have taken a thoughtful approach to ensure balancing the current market environment with a healthy long-term business model.”

Intrepid Potash Inc. is the top U.S. potash producer. The company has six production facilities across New Mexico and Utah.