US Gulf/Tampa:
Tampa ammonia remained at March’s $445/mt CFR settlement, unchanged from February. Sources reported no direction for April pricing, which is expected to conclude later this month, though inland US terminal prices have rebounded on short supply and strong early demand, while natural gas prices have ticked up slightly in Europe.
Eastern Cornbelt:
Prompt ammonia prices continued to move up as early spring demand tests supplies. Truck tons in the Eastern Cornbelt were quoted at $625-$650/st FOB during the week, depending on location, up from the prior week’s $575-$625/st FOB range.
CF reportedly raised prices first to $635/st FOB and then to $645/st FOB in the region, while Koch was quoted at the $635/st FOB level at most terminals. The Lima, Ohio, reference price was quoted at $625/st FOB, up from the prior $590/st FOB level.
“Ammonia is seriously short supplied,” said one Illinois contact. “A buyer needs to make sure tons are in the tank if he is looking for any sort of prompt pull.”
Western Cornbelt:
Sources reported a flurry of ammonia applications in parts of Iowa and Missouri from March 1-5 before wet weather slowed the pace. Prices were up as the strong, early demand strained prompt supply in the region. Sources pegged the market at $615-$635/st FOB regional terminals in the Western Cornbelt, where available, up sharply from the previous $575-$615/st FOB range.
The latest ammonia offers in the southern US included limited truck tons at $615/st FOB Coffeyville, Kan., and $625/st FOB Cherokee, Ala.
Great Lakes:
Michigan sources pegged the latest ammonia offers at $585-$635/st FOB, up from $535-$615/st FOB, with the low reported at Courtright, Ont., and the high at Huntington, Ind.
Northern Plains:
Delivered ammonia remained in a broad range at $600-$670/st in the Northern Plains, with the low for prompt tons and the high for spring prepay. Terminal prices were quoted at $635-$640/st FOB in the region for limited offers.
Northwest Europe:
TTF natural gas rebounded another 2% this week, sitting currently at €28/MWh, or close to $9/mmBtu, following an unplanned outage in Norway and a low wind forecast in Western Europe. Despite the rise in gas prices, Northwest European ammonia prices on a CFR basis remained unchanged, with no fresh business reported.
Reports of a new CF UK inquiry for April delivery and a rumored 10,000 mt EuroChem spot sale into France could not be confirmed by press time.
Middle East:
Previous contract discussions between Saudi Arabian producers and buyers in Southeast Asia showed possible prices in the $330s/mt CFR, for a potential netback of $295/mt FOB to the Middle East.
While sources in Asia were careful to point out that the talks were for contracts and not spot deals, a late-week sale of 15,000 mt reported from Kaltim at $335/mt FOB fits with the talks to import product from the Arab Gulf.
SAFCO 3 in Saudi Arabia and the OQ plant in Salalah, Oman, are down for routine maintenance.
January-February ammonia exports from Iran totaled 53,000 mt, Trade Data Monitor reported, a 45% decline from the year-ago 98,000 mt, with India receiving 52,000 mt. February exports were 23,000 mt, a significant decline from 77,000 mt in February 2023.
The lower ammonia exports may be the result of reduced natural gas available for industrial use, sources speculated. Iranian nitrogen producers were required to cut back outputs early in the year after natural gas was diverted for residential use.
India:
Deepak was rumored to pick up a cargo at $370/mt CFR. At the same time, FACT was reported to pay $409/mt CFR for a 7,500 mt lot. The unusually high price was the result of difficult logistics, one trader noted. FACT normally pays a slight premium for its ammonia because its port facilities do not allow for large vessels to discharge product.
India imported 2.3 million mt of ammonia in 2023, Trade Data Monitor reported, up 5% from the 2.2 million mt received in 2022. Saudi Arabia sent 947,000 mt, Oman shipped 384,000 mt, and Bahrain added 146,000 mt. December imports fell 12%, to 574,000 mt from the 650,000 mt received in December 2022.
Indonesia:
Kaltim reportedly closed a deal to sell 15,000 mt of ammonia at $335/mt FOB. The price fits with discussions taking place between area buyers and Arab Gulf suppliers.
Trade Data Monitor pegged January ammonia exports from Indonesia at 148,000 mt, a marginal increase from 140,000 mt in January 2023. South Korea led buyers with 50,000 mt, followed by India with 38,000 mt. China took 22,000 mt.