Industry sources reported a “significant amount” of phosphate activity following The Mosaic Co.’s production curtailment announcement. Postings for September/October NOLA barges firmed to $295/st FOB for DAP and GMAP, with unconfirmed reports of actual prompt trades occurring on Sept. 10 in the $285-$295/st FOB NOLA range. Producer postings for November/December firmed to $300/st FOB NOLA.
All posts by Dan Cole
USDA Says Growers Planted 90 M Acres of Corn
The USDA on Aug. 12 said U.S. growers planted 90.0 million acres of corn in 2019, down 1.7 million acres from the agency’s last official estimate of 91.7 million acres on June 28. The highly anticipated revised estimate was based on a resurvey of growers in July after USDA noted that its June survey was conducted when growers still had planting intentions that were never realized due to unprecedented wet weather this spring.
USDA estimated total corn production at 13.9 billion bushels based on an average yield projection of 169.5 bushels/acre, down 6.9 bushels from 2018. Total harvested corn area is projected at 82 million acres, down 2 percent from the previous forecast.
Soybean planted acreage is now estimated at 76.7 million acres, down 4 percent from USDA’s previous estimate and a full 14 percent below 2018’s planted acreage. Soybean production for 2019 is projected at 3.68 billion bushels, down 19 percent from 2018, with average yields estimated at 48.5 bushels/acres, down 3.1 bushels from last year.
CF Launches UAN Fill Program
CF Industries Holdings Inc. Senior Vice President Bert Frost confirmed on Twitter that the company launched a UAN fill program on July 29. No other details were reported and industry sources were unsure of prices and terms, but rumored levels included $175-$180/st FOB river terminals and $150/st FOB NOLA. Green Markets will release more details when they become available.”
Pinnacle Agriculture to Review Strategic Options
Pinnacle Agriculture Holdings LLC, Loveland, Colo., announced on July 9 that its Board of Managers has decided to launch a process to explore strategic alternatives for the company. The Board of Managers has engaged Credit Suisse Securities (USA) LLC to lead the process, which will consider a broad range of strategic alternatives, including a potential sale of the company. The company said the decision to launch this process follows multiple unsolicited expressions of interest in Pinnacle from several parties both within and outside of the agriculture industry.
Fire at Nutrien’s Allan Mine Forces Workers to Underground Shelter
A fire at Nutrien Ltd.’s Allan potash mine in Saskatchewan confined 63 workers to underground refuge stations early on May 14. According to local press, the blaze broke out sometime after midnight, forcing the miners to take shelter for several hours while emergency response crews worked to extinguish the fire. The miners were brought to surface at about 7:45 a.m. with no injuries reported. The cause of the fire was not immediately known, and operations at the mine were suspended.
Nutrien to Cut Capacity, Jobs at Vanscoy Mine
Nutrien Ltd., Saskatoon, Sask., announced on May 14 that it plans to cut production capacity at its Vanscoy potash mine from 2.2 million mt to 1.7 million mt in the third quarter of 2019, and to reduce staffing levels at the mine by approximately 20 full-time employees and 60 hourly positions. “Given the potash market continues to be in a state of recovery, it is critical that Nutrien’s potash network remain competitive globally,” the company said. “Nutrien expects to increase production at its lower cost mines and anticipates around 80 vacancies at other Saskatchewan sites over the remainder of 2019.”
Minnesota Approves HOS Exemption
Minnesota Governor Tim Walz has signed an emergency order granting a temporary exemption from Hours of Service (HOS) requirements in state law for drivers of commercial vehicles delivering anhydrous ammonia or other fertilizers to Minnesota Farmers. The emergency order, which went into effect on May 10 and continues for 30 days, came in response to cold, wet weather that has delayed the planting season, as well as “delivery delays due to infrastructure damage caused by flooding.”
The Andersons Offers Organic Ferts from New Warehouse
The Andersons Inc., Maumee, Ohio, announced on May 14 that a new warehouse at the company’s Waterloo, Ind., location is now offering OMRI-certified organic plant nutrients, in addition to products and services for conventional growers and dealers. The Andersons said this expansion aligns with its strategy to grow in organic and specialty food-grade ingredients.
Bruce Oakley to Purchase Lange-Stegmann
Bruce Oakley Inc., North Little Rock, Ark., announced on April 26 that it has signed a definitive agreement to purchase the Lange-Stegmann Company (LSCO), St. Louis, Mo. The companies expect to close the sale on or around May 31, 2019. Terms of the transaction were not disclosed. Patrick Nolan of Nolan & Associates represented LSCO in the sale.
LSCO was founded as Lange Brothers Fertilizer in 1926 by brothers Henry and Dewey Lange. The company today operates a fertilizer and bulk commodity handling terminal on the Mississippi River, and is currently led by Rich Stegmann and Mike Stegmann. At the time of some facility upgrades completed in 2017 (GM July 14, 2017), LSCO reported that it had some 113,000 st of covered dry fertilizer storage and 30,000 st of liquid storage at the northernmost port on the Mississippi River open to year-round barge access.
37 Hospitalized after NH3 Leak in Northern Illinois
An anhydrous ammonia leak that occurred early on April 25 in the northern Chicago suburb of Beach Park, Ill., has sent 37 people to the hospital, with seven listed in critical but stable condition as of 12:40 p.m. CST, according to the Associated Press.
Wire reports said the leak occurred at about 4:30 a.m. from a container that was being transported by a tractor. Those hospitalized reportedly include 11 firefighters and three police officers who responded to the scene. Residents within a one-mile radius of the leak were initially told to close their windows and remain indoors, but that order was lifted a few hours later, the AP reported. Schools in the area remain closed.