Melbourne—Orica Ltd. said March 1 that it will join Yara International ASA and Apache Energy in the ownership of the planned Burrup ammonium nitrate plant in Australia. Orica said it has signed a heads of agreement with Yara and Apache to form a joint venture to build a 330,000 mt/y plant on the Burrup peninsula and distribute ammonium nitrate and other explosives products to mining customers in the Pilbara. Yara will be the operator of the plant, and Orica will manage the sales and distribution. The final agreement is subject to concluding negotiations on the contract for the engineering, procurement, and construction of the ammonium nitrate plant, and board approvals. The parties are targeting commencement of construction by mid-2012. Orica and Yara will each hold a 45 percent stake, with Apache holding 10 percent. Yara and Apache recently took control of the ammonia plant at Burrup, with Yara owning 51 percent and Apache 49 percent.

San Francisco—The owner of California Liquid Fertilizer pleaded guilty Feb. 22 in federal court here to carrying out a million-dollar scheme to defraud farmers by misrepresenting his product as an organic fertilizer, according to the U.S. Attorney’s Office. Prosecutors say Peter Townsley will be sentenced June 13 on two counts of fraud, charging that he sold his Biolizer XN as an organic fertilizer that was approved for use in organic agriculture from April 2000 through December 2006, with labels claiming it was approved when it actually contained prohibited chemical ingredients. According to the plea agreement, Townsley applied for and received Organic Materials Review Institute (OMRI) approval of Biolizer XN in 1998, claiming that the fertilizer was made of fish, fish byproducts, feathermeal, and water. Townsley admitted that by April 2000 he had changed the ingredients in Biolizer XN to a product containing ammonium chloride, a material prohibited from use in organic agriculture. In addition, he did not notify OMRI of this change, falsely claiming nothing had changed in the formulation when it was time for the annual renewal of the approval and continuing to market the fertilizer as an OMRI-approved product. Townsley further admitted that by June 2001, he had again changed the formulation to include a different prohibited ingredient, ammonium sulfate, and notified OMRI that the formulation had not changed. Townsley admitted that he knew these representations to his customers were false when he made them, and that by deceiving his customers he was able to ensure continued sales of Biolizer XN to organic farmers. Townsley, 50, a citizen of Canada, was arrested in October 2010 after the unsealing of the initial indictment (GM Oct. 18, 2010). A superseding indictment was filed on July 7, 2011, charging him with one count of conspiracy to commit mail fraud in violation of Title 18, United States Code, Section 1349, and seven counts of mail fraud in violation of Title 18, United States Code, Section 1341. Townsley pleaded guilty to two counts of mail fraud based on his mailing of renewal certifications to OMRI in 2005 and 2006.

Bradenton, Fla.— The Manatee County Commission voted 4-3 to approve a zoning change for The Mosaic Co. to mine an additional 650 acres at its Wingate Creek Mine. The approval left only obtaining an operating permit as the final step before mining begins. Land clearing on the tract was tentatively planned for January 2013. Opponents argued 46 acres of wetlands would be disturbed in order to mine 30 acres. A schedule for the operating permit was not available.

Haifa—Based on a decision made March 1 by Israel’s Environmental Protection Minister Gilad Erdan and Industry and Trade Minister Shalom Simhon, the Haifa Chemicals ammonia storage facility will be moved. The directors general of the two ministries will decide on an alternative location in the coming months, apparently in the Negev region in southern Israel. Haifa Chemicals has a plant in Mishor Rotem. No timetable for closing the existing facility or opening a new one was announced. “The two ministries will find an acceptable solution that meets the industrial needs of the local industry on the one hand but also takes into account environmental and security needs of the country,” said Simhon. Ammonia is currently imported via the port of Haifa for the use of Haifa Chemicals. A team of experts recommended that the new facility produce the ammonia locally using abundant natural gas that has been discovered off Israel’s Mediterranean coast in recent years. Late last year Ratio Oil Exploration said it was considering building an ammonia plant in the northern Negev region to utilize natural gas from the Leviathan offshore field, which was discovered in December 2010 and has estimated reserves of 16 trillion cubic feet. The plant, with a cost estimate of $500 million, would be able to meet all domestic needs and export as well. The current facility, which stores 12,000 metric tons, has met with strong opposition from environmental groups and the Haifa Municipality due to its location in a metropolitan area. A commission appointed following the 2006 war in Lebanon recommended improved protection of the facility and the banning of the entry of vessels transporting ammonia into Haifa port during war time. In 2010 a team of experts from government ministries and private consulting firms studied various alternatives and found that the facility was well protected by international standards, but was located closer to population centers than is customary. The team recommended that an ammonia production plant be set up to supply the needs of the local fertilizer and other industries. Officials at the Environmental Protection and Industry and Trade Ministries said that the determining factor was the fear of missile attacks in the Haifa region, and that was the main reason for the decision to shut the facility down and find an alternative location.

Bismarck, N.D.—Press reports indicating that Sirius Minerals and its subsidiary, Dakota Salts, are giving up on potash mining in North Dakota because of disappointing tests results are not true, according to a top Sirius executive. “We’re still active,” asserted J.T. Starzecki, a senior manager for the company’s U.S and Australian interests, by long-distance and email from Australia. “In no way shape or form are we done with North Dakota. That’s just not the case.” Last week’s Associated Press report from Bismarck had a Dakota Salts contact stating that test results were not up to expectations, and that North Dakota potash deposits are “not on the front burner” of the company’s plans.” North Dakota State Geologist Ed Murphy responded for Green Markets that he had no information indicating a Sirius pullout. Murphy said he has had recent conversations with company officials and a couple of emails in the last six weeks, and “they have not expressed that to me.” He said he couldn’t comment on reports that Dakota Salts had gotten unexpected test results. Starzecki reacted to the AP report from Sirius’ Sidney office, saying that of course Sirius Minerals as an organization is focused on its lead project, which is York Potash in the United Kingdom. He added, “But as part of our overall business model, we have a portfolio of projects that we are looking to advance in various capacities. We have land exploration tenements in Australia, the U.S., and the U.K., and those make up the Sirius Minerals exploration portfolio. Specifically with North Dakota, we are evaluating our next steps for the project. Last year we launched a regional study of the area to see if what we saw in our first drill core was a local anomaly or a regional anomaly. With that additional data, we have been able to develop a few new paths to advancing the project, and are working internally to decide on the best course of action moving forward. It should be known that in no, way, shape or form is Sirius Minerals saying that the project is being closed down. Quite the contrary, we are actively looking at some exciting avenues for the project. York Potash is our lead project, but we continue to advance the other projects within our portfolio.”