U.S. Gulf/Tampa: Nothing new was reported last week at Tampa or NOLA. Tampa speculation seems to be that September prices could roll over from August or see a slight drop.
However, others point out that increased gas curtailments in Trinidad in September could tighten availability.
The September NYMEX natural gas price closed Aug. 20 at $2.755, down slightly from Aug. 13’s $2.787/mmBtu.
Eastern Cornbelt: The ammonia market in the Eastern Cornbelt was steady at $545-$565/st FOB, with the low in Illinois and the upper end out of Indiana terminals.
Western Cornbelt: The anhydrous ammonia market remained at $505-$545/st FOB in the Western Cornbelt, with the low quoted in Nebraska and the upper end for fall prepay in Iowa and Missouri. Delivered ammonia was reported at $540-$550/st in the region from southern production points.
California: The anhydrous ammonia market remained at $620/st DEL in California, with aqua ammonia referenced at the $170/st FOB level.
Pacific Northwest: Fertilizer activity has slowed to a snail’s pace in the Pacific Northwest, as one source put it, noting that the slowdown was typical for August sales. “The hot, dry weather will have a negative impact on our fall season, but how much is the question,” he added. “I just know it is bad news for fall.”
Anhydrous ammonia was quoted at $575-$600/st DEL in the Pacific Northwest, down another $10/st from last report, with the low for rail and the upper end for truck-DEL tons.
Aqua ammonia pricing remained at the $154/st FOB level in the region.
Western Canada: The anhydrous ammonia market remained at $740-$760/mt DEL in Western Canada last week.
Sources reported little activity on the fertilizer front. “Sales have been moderate but there is still not a lot of farmer buying going on,” said one regional contact. “It is mostly retailers that are stepping in. Until we see farmers buying, we are expecting sales to be slow.”
Saudi Arabia: Ma’aden Phosphate Co. will shut down its ammonia plant Aug. 21 at Ras Al Khair to carry out technical repairs in the heat exchanger. The plant is expected to be down for around 14 days. The company said DAP customers will not be impacted as that plant will continue producing using ammonia inventories.