All posts by jlarareo@bloomberg.net

DAP/MAP

Brazil, California, Central Florida, China, DAP/MAP, Eastern Cornbelt, India, Market Watch, Pacific N.W., Phosphate, Saudi Arabia, U.S. Exports, U.S. Gulf, Western Canada, Western Cornbelt

Central Florida:

Central Florida DAP trucks were unchanged at $770/st FOB for the week. MAP trucks were steady as well at $790/st FOB. With nothing new reported for the week, MAP trucks loading from North Florida continued to be called $820/st FOB.

US Gulf:

Sources described a mostly quiet NOLA DAP and MAP barge market during the week.

With minimal trading action reported, DAP barges continued to track in the $720-$730/st FOB range, unchanged from the previous week. Offer levels from domestic producers were quoted at $760/st FOB, also flat from one week earlier. A transaction rumored at $650/st FOB for loading in the first quarter went unconfirmed on Oct. 20.

Prices on MAP barges loading from NOLA were also unchanged at $725-$740/st FOB. Some described expectations of a decline below $725/st FOB as the market moves closer to November loading. Posted offers from domestic producers continued at $775/st FOB.

Low water issues on the Mississippi River continued to place increased value on barges and material already stationed at upriver locations. “It’s been quiet this week,” said one trader. “Only terminal tons are moving.”

US Exports:

Sources reported a 5,000 mt DAP cargo selling to a single destination in northern Latin America during the week. Set to load in early November, the cargo was reported to fetch $700/mt FOB. The market was previously reported in the $750-$760/mt FOB range.

Eastern Cornbelt:

DAP edged up to $810-$840/st FOB in the Eastern Cornbelt, with the low confirmed at Cincinnati and the high in Illinois. MAP was pegged at $825-$855/st FOB in the Eastern Cornbelt, with the upper end again reported on the Illinois River. The Cincinnati market was pegged at $810-$815/st FOB for DAP and $830-$845/st FOB for MAP.

Western Cornbelt:

DAP pricing was quoted at $800-$820/st FOB in the Western Cornbelt, with MAP reported in a broad $820-$850/st FOB range, depending on location. The St. Louis market was pegged at $800-$815/st for DAP and $820-$830/st FOB for MAP. Iowa sources reported MAP pricing firmly at the $850/st FOB level at mid-month.

California:

MAP was unchanged at $900/st FOB or DEL in California.

Pacific Northwest:

The MAP market was steady at $870-$890/st FOB or DEL in the Pacific Northwest, depending on location.

Western Canada:

MAP was quoted in a wide range at C$1,235-$1,285/mt FOB in Western Canada, depending on location, with the low reported at both Clavet and Corinne, Sask. Recent offers FOB Biggar, Sask., were pegged at the C$1,250/mt level. The last delivered prices were reported at the C$1,270/mt level in Alberta.

Saudi Arabia:

Sources reported an unplanned shutdown at Ma’aden Phosphate Company’s phosphate production facility, located at the industrial city of Ras Al-Khair, reportedly due to a sea line issue.

Production at the 3 million mt/y facility was anticipated to be offline for 50 days, potentially reducing 2022 production by up to 410,000 mt. Operations at the 3 million mt/y Ma’aden Wa’ad Al Shamal Phosphate complex, a joint venture with Mosaic, were reportedly unaffected.

DAP and MAP cargoes loading from Saudi Arabia were noted in the $630-$730/mt FOB range for the week, unmoved from the prior report.

China:

Talks among DAP producers and buyers continue to cut out traders. Sources said the new arrangements make it easier to export the product because producers can talk directly with the customs officers who have to grant permission for the offshore sale. In the case of YUC, the fact that it is a state-owned enterprise helps cut through some of the red tape.

India:

Reports are circulating that OCP/Morocco and Indian DAP buyers are about to settle major contracts. The deals will be for large tonnage to be shipped on a formula basis.

DAP imports for January-August 2022 were reported at 3.3 million mt, according to Trade Data Monitor, up 25% from the 2.7 million mt imported during the same period of 2021. The main suppliers were Saudi Arabia with 1 million mt, Morocco with 816,000 mt, China with 709,000 mt, and Russia with 436,000 mt.

August 2022 imports were reported at 698,000 mt, a dramatic increase from the 207,000 mt imported in August 2021. Morocco dominated with 276,000 mt for 40% of the import market. China was second with 198,000 mt for 28% of the market, and Saudi Arabia came up third with 163,000 mt for 23% of the import market.

Brazil:

The price of MAP continues to slide in Brazil. Sources now place the landed price at $630-$640/mt CFR.

Despite the softness seen in current MAP deals, sources said discussion for the second quarter of 2023 are centering on $680/mt CFR. While this price is being discussed, sources said nothing has been concluded yet at those levels for 2023 deliveries.

The Rondonopolis market is following the port price, dropping to $760-$820/mt FOB ex-warehouse. Sellers are pushing back against further price reductions. In some cases, the speed of the decline can be seen in prompt sales of top-off tons. Sources said sellers are able to at least hold the line on pricing for those who are anxious for prompt shipments.

Phosphoric Acid

California, Eastern Cornbelt, India, Market Watch, Pacific N.W., Phosphate, Phosphoric Acid, Western Cornbelt

Eastern Cornbelt:

Phos acid postings in the Eastern Cornbelt were unchanged at $14.00/unit rail-DEL for October.

Western Cornbelt:

Phos acid prices were steady at $14.00/unit rail-DEL in the Western Cornbelt for October tons.

California:

October pricing for phos acid remained at $14.00/unit rail-DEL in California, with MGA referenced at $14.20/unit FOB Lathrop.

Pacific Northwest:

The phos acid market remained $13.50/st FOB Pocatello, Idaho, and $14.00/unit rail-DEL for October tons in the Pacific Northwest.

India:

Phosphoric acid contracts at India were noted in the $1,100-$1,200/mt P2O5 CFR range for the fourth quarter, falling from $1,715/mt P2O5 CFR in the prior period.

Ammonium Polyphosphate

Ammonium Polyphosphate, California, Eastern Cornbelt, Market Watch, Pacific N.W., Phosphate, Western Canada, Western Cornbelt

Eastern Cornbelt:

10-34-0 pricing remained at $665-$675/st FOB for the last confirmed offers in the Eastern Cornbelt.

Western Cornbelt:

10-34-0 was pegged at the $655-$675/st FOB level in the Western Cornbelt, with the upper end confirmed in the Iowa market.

California:

The 10-34-0 market was steady at $691-$696/st FOB in California, with 11-37-0 pricing referenced at $753/st FOB El Centro.

Pacific Northwest:

10-34-0 pricing was steady at $675/st FOB Hedges, Wash., while 11-37-0 postings remained at $725/st FOB Hedges and $705/st DEL in Idaho.

Western Canada:

10-34-0 pricing in Western Canada was reported at C$940-$955/mt DEL in mid-October, down C$5/mt from last report.

Muriate of Potash

Brazil, California, Eastern Cornbelt, India, Market Watch, Pacific N.W., Potash, Potash Muriate, South Korea, U.S. Gulf, Western Canada, Western Cornbelt

US Gulf:

NOLA potash barges continued to be called $565-$575/st FOB.

Eastern Cornbelt:

Potash pricing continued to fall in the $670-$690/st FOB range in the Eastern Cornbelt, with the upper end out of inland warehouses. The Cincinnati potash market was pegged at the $675/st FOB level at mid-month.

Western Cornbelt:

Potash pricing was steady at $660-$700/st FOB in the Western Cornbelt, with the high confirmed in Iowa on a spot basis. The St. Louis potash market was reported in the $660-$675/st FOB range at mid-month.

California:

The potash market in California was reported at $870-$890/st FOB, depending on grade and location, with delivered tons pegged at $875-$895/st.

Pacific Northwest:

Potash was unchanged at $845-$865/st FOB in the Pacific Northwest, with the low for 60% and the high for 62% MOP. The last reference prices from Intrepid FOB Moab and Wendover, Utah, included $850/st for 60 percent white standard and $855/st for 60 percent white granular.

Western Canada:

Sources in Western Canada quoted potash pricing at C$990-$1,020/mt FOB Saskatchewan mines for truck tons, depending on grade and supplier.

Brazil:

Despite efforts by sellers, the price of MOP in Brazil keeps falling. Sources reported new deals at $600-$620/mt CFR. There are reports as well of new bids coming in as low as $575/mt CFR, but with no confirmation that any deals were done at that level.

Buyers are said to be in no rush to buy more MOP, as supplies are plentiful and warehouses remain full. Buyers who are offering low bids appear to be looking to take advantage of the lack of demand and high stockpiles to secure ever-cheaper product. If sellers reject the bids, buyers can afford to sit back and wait.

The Rondonopolis price shifted to $740-$810/mt FOB ex-warehouse. The lack of demand inland is providing a steady downward pressure on prices, with sellers only occasionally able to secure a deal that does not involve a price drop.

India:

Imports of MOP for January-August 2022 were reported at 1.9 million mt by Trade Data Monitor, down 16% from the 2.2 million mt imported during the same period in 2021. The main suppliers were Canada with 630,000 mt, Israel with 430,000 mt, Belarus with 384,000 mt, and Jordan with 317,000 mt.

August 2022 imports were reported at 188,000 mt, down from the 22,000 mt imported during August 2021. Canadian potash accounted for 47% of the imports with 89,000 mt. Israel was second with 64,000 mt for 34% of the market, and Jordan placed third with 35,000 mt for 19% of the MOP imports.

South Korea:

January-September 2022 imports of MOP were reported at 566,000 mt by Trade Data Monitor, down slightly from the 572,000 mt imported during the same period in 2021. Canada dominated the import market, supplying 412,000 mt, with Israel supplying another 95,000 mt.

Third-quarter 2022 imports were reported at 197,000 mt, up from the 182,00 mt imported during the same period last year.September 2022 imports were reported at 72,000 mt, more than double the September 2021 imports of 33,000 mt.

Sulfur

ADNOC - Abu Dhabi, Alberta, Brazil, China, Market Watch, Qatar, Sulfur, Tampa, U.S. Gulf, Vancouver, West Coast

Tampa:

Genscape on Oct. 17 reported the return to normal operation of a 104,000 barrel/d crude distillation unit (CDU) and a 26,000 barrel/d vacuum distillation unit (VDU) at the Monroe Energy refinery in Trainer, Pa. The units were noted going offline for maintenance on Sept. 10.

BP shut the 115,000 barrel/d Pipestill 11C CDU and an associated 60,000 barrel/d VDU at the company’s Whiting, Ind., facility on Oct. 17. The plant’s 115,000 barrel/d FCU 500 fluidic catalytic cracking unit (FCC) was reportedly idled on Sept. 22 for planned maintenance through mid-November.

Fourth-quarter Tampa molten contracts were concluded at $90/lt CFR, a $262/lt decline from $352/lt CFR in the third quarter.

Operable refining capacity in the US ebbed lower for the week ending Oct. 14, according to the Energy Information Administration (EIA). Combined nationwide refinery utilization was reported at 89.5% for the period, down from the prior week’s 89.9% but above both the year-ago 84.7% and the 83.8% five-year average.

Daily crude inputs also moved lower, with the EIA noting inputs at an average 15.550 million barrels/d for the week, down 133,000 barrels/d from the prior week’s 15.683 million barrels/d rate.

US Gulf:

Genscape reported a brief decrease in activity from the 64,000 barrel/d CDU at the Calcasieu Lake Charles, La., refinery on Oct. 18. The dip was recorded following the shutdown of one of the unit’s two furnaces. The unit returned to full operation on Oct. 19.

Multiple unit shutdowns were recorded at the Delek Big Springs, Texas, refinery during the week. A 74,000 barrel/d CDU, a 24,000 barrel/d CDU, a 22,000 barrel/d catalytic reformer, and a 25,000 barrel/d hydrotreater were noted going offline on Oct. 18. Two additional hydrotreaters were seen powering down on Oct. 16, while a 25,000 barrel/d FCC and a 12,000 barrel/d hydrotreater were shut on Oct. 15.

Recent business out of the US Gulf firmed to $100-$120/mt FOB during the week, sources said, a $10/mt increase from the prior $90-$110/mt FOB range.

Brazil:

Recent Brazil sulfur imports firmed to the $139-$158/mt CFR range, slightly above the previously reported $138-$158/mt CFR. Sources quoted fourth-quarter contracts in the $119-$138/mt CFR range after most buyers omitted purchase contracts in the third quarter.

Vancouver:

With values at China on the rise, new sales from Vancouver lifted the market to $115-$120/mt FOB, sources said, up from $95-$100/mt FOB at last report.

Alberta:

Netbacks on the sale of molten and prilled sulfur from Alberta were pegged in the (-)25-$50/mt FOB range, firming from (-)25-$25/mt FOB reported previously. Solid tons trading internationally through the Vancouver export market established the high, while molten material contracted into the US market set the low.

West Coast:

Genscape reported the Oct. 14 shutdown of a 40,000 barrel/d distillate hydrotreater at the Phillips 66 Carson, Calif., refinery. Significant decreases in activity at the refinery accompanied the shutdown. Increased activity was observed from the unit on Oct. 17, although no restart was reported as of Oct. 19.

Increased activity on Oct. 17 was also noted from a 62,000 barrel/d VDU at the Marathon refinery in Carson, Calif., although the levels remained shy of normal operating activity. The unit, along with a 65,000 barrel/d CDU, were taken offline on Sept. 16. The CDU remained shut down on Oct. 17.

The West Coast export market was even with Vancouver at $115-$120/mt FOB, firming from $95-$100/mt FOB in the prior report.

Molten sulfur contracts were reported in the $75-$79/lt FOB range for fourth-quarter loading, declining from $370-$385/lt FOB in the prior period.

China:

China spot values continued to firm during the week, with sources quoting last-done business at $150-$160/mt CFR, rising from the week-ago $145-$150/mt CFR.

ADNOC:

Abu Dhabi National Oil Co. (ADNOC) solid sulfur offers were heard at $103/mt FOB Ruwais for October lifting, up $11/mt from September’s $92/mt FOB.

Qatar:

Sulfur loading from Qatar was posted at $104/mt FOB Ras Laffan for October, up $15/mt from September’s $89/mt.

Sulfuric Acid

Brazil, Gulf Coast, Market Watch, Midwest, Sulfur, Sulfuric Acid, U.S. Gulf, West Coast

US Gulf:

Despite a late start to the Gulf sulfuric acid market’s annual bid season, players described bidding as now fully underway. Import price ideas remained unchanged from the week-ago $120-$140/mt CFR, sources said, although some noted a hope among buyers that the late start could trigger additional price declines as proposals are unveiled.

Gulf Coast:

Annual contracts for delivery to locations on the Gulf Coast were reported at $195-$280/st DEL.

Midwest:

Midwest agreements for the 2022 contract year were heard on par with the Gulf Coast at $195-$280/st DEL.

West Coast:

Full-year West Coast contracts were reported in the $185-$270/st DEL range, sources said.

Brazil:

With no new business heard on the Brazil spot import market, price ideas continued in the $130-$150/mt CFR range for the week, unchanged from the prior report.

Ammonium Thiosulfate

Amthio, California, Eastern Cornbelt, Market Watch, Pacific N.W., Specialty, Western Canada, Western Cornbelt

Eastern Cornbelt:

Ammonium thiosulfate pricing remained in a broad range at $400-$450/st FOB in the Eastern Cornbelt, depending on location.

Western Cornbelt:

Ammonium thiosulfate pricing covered an extremely wide range at $350-$450/st FOB in the region, depending on location and supplier, with the low reported in Nebraska and the high in Iowa on a spot basis.

California:

The ammonium thiosulfate market remained at $530/st FOB in California.

Pacific Northwest:

The last reported prices for ammonium thiosulfate were quoted at $435/st FOB and $450/st DEL in the Pacific Northwest.

Western Canada:

The last confirmed ammonium thiosulfate business remained at the C$530/mt DEL level in Saskatchewan.