All posts by mickeybarb@charter.net

Acron Boosts Jan-Sept. Output 6 Percent, Fertilizer Output Up 3 Percent

Ammonia, Ammonium Nitrate, Earnings, News, Nitrogen, NPK, Russia, UAN

Acron Group, Moscow, reported a 6 percent increase in its commercial output and a 3 percent increase in fertilizer output in the first nine months of this year, compared with a year-ago.

Production of commercial products increased to 6.32 million mt, up from 5.96 million mt, while production of fertilizers grew to 5.02 million mt, up from the year-ago 4.88 million mt.

Acron highlighted the group’s increased output of agricultural urea in the reporting period, which grew 18 percent year-over-year, thanks to the start-up of the Urea-6+ project at the Veliky Novgorod site in northwest Russia, which began operations in August (GM Aug. 13, p. 1).

The commissioning of the “Urea-6+” upgrade increased the Urea-6 unit’s capacity to 730,000 mt/y from 210,000 mt/y previously (GM April 23, p. 30), and took Acron’s Group’s total urea production capacity to 1.975 million mt/y. The upgraded capacity has made Acron the largest urea producer in Europe, according to the fertilizer group.

Granular urea output was also up significantly (+151 percent) in the nine-month period, while output of prilled urea fell 29 percent. Acron added granular urea capability to its production portfolio in May 2020, commissioning a new 700,000 mt/y urea granulation unit at the Veliky Novgorod site (GM May 22, 2020). Hitherto, the group had only produced urea that was prilled or rotoform.

Acron also boosted its output of UAN and complex fertilizers in the reporting period, by 15 percent and 11 percent, respectively. But nine-month AN production was down 10 percent compared with a year ago.

Industrial products’ production was up 17 percent over a year-earlier in the January through September period this year to 1.07 million mt, reflecting strong global demand.

Apatite concentrate output increased 10 percent to 936,000 mt.

Acron noted that fertilizer prices continue to head upward, but said major Russian fertilizers producers froze their key fertilizer prices for domestic farmers in July 2021 through the end of the autumn agricultural season. It said the voluntary price freeze was extended this month through the end of 2021.

Acron Group Commercial Output

‘000 mt Jan.-Sept. 2021 Jan.-Sept. 2020 Year-on-year change percent
Fertilizers      
Ammonia 2,164 2,071 +5
Nitrogen fertilizers 3,750 3,634 +3
Ammonium nitrate 1,638 1,826 (10)
Agricultural urea1 1,050 887 +18
Prilled 273 381 (29)
Granulated 364 145 +151
UAN 1,061 921 +15
Complex fertilizers 1,945 1,747 +11
NPK 1,798 1,663 +8
Bulk blends 147 84 +75
Total fertilizers 5,017 4,884 +3
Total industrial products 1,066 909 +17
Total commercial output 6,315 5,957 +6

1 Acron Group also produces industrial urea

Yara, Heliae Partner to Help Almond Farmers

California, News, News Briefs, Specialty, Tampa

Tampa-based Yara North America Inc., in partnership with Heliae® Agriculture, announced on Oct. 18 that it has launched the BetterSoil Alliance to support the California almond industry in the pursuit of sustainable farming practices to improve water productivity and soil health, while decreasing their carbon footprint.

The two companies said the alliance will allow sustainable solutions to be put to the test to understand their impact on critical issues challenging the long-term viability of the California almond industry, including water scarcity, drought, and rising temperatures. Almond growers and advisors are invited to participate in implementing the solutions through customized crop and soil nutrition programs that will be developed by mid-November.

The two companies said participants will be eligible to receive a sustainability reward based on water productivity and nitrogen use efficiency. Data collected from participating orchards will be used to better understand the positive impact the solutions implemented in the program can have. Yara and Heliae will help fund a portion of the sustainability rewards, but are asking the industry to participate through pledges to help with the funding.

“We know by collaborating with others across the industry – growers, advisors, hullers, processors, and food companies, for instance – we can achieve more,” said Debbie Watts, Vice President, Yara North America. “This is why we have launched the BetterSoil Alliance, with the belief that industry partners will come together and accelerate building out sustainable solutions through discovery and collaboration to address this urgent need.”

Participating growers and advisors will have access to the agronomic expertise of Yara and Heliae, which is a division of Heliae Development LLC, Phoenix, Ariz. Heliae provides microalgal products to through its PhycoTerra® product portfolio, which the company said improve overall soil microbial health, structure, water productivity, and nutrient use efficiency.

Growers will also have access to soil management solutions that include YaraLiva® Calcium Nitrate and PhycoTerra®, a nature-based soil microbial food for fungi and bacteria. Yara and Heliae said they hope the program demonstrates that together these products will improve almond yield and quality while improving soil health and structure.

“Improving soil quality serves as the foundation to improving water use that help optimize crop yield and quality”, said Heliae’s Norm Davy. “Between the increased consumer demand for almonds and tightening water supply in California, growers need solutions that increase yield and improve soil health and soil structure for future crops.”

Tessenderlo Denied Power Station Permit

Europe, News, News Briefs

Tessenderlo Group, Brussels, reported on Oct. 15 that it has been informed of the decision by the Flemish Minister of Justice and Enforcement, Environment, Energy, and Tourism not to grant a permit for the construction of a second gas-fired power station of 900 MW in Tessenderlo (Belgium).

If successful, the new power plant, which involves the investment of €500 million, would have been operational by Nov. 1, 2025 (GM Sept. 3, p. 29). The company said it would carefully review this decision before deciding on any further steps.

Genesis Signs Lease for Alberta SuperCenter

News, News Briefs, Saskatchewan

Genesis Grain & Fertilizers Operating LP, (GG&F LP), together with Genesis Fertilizers (Genesis), Saskatoon, reported that it has signed a land lease agreement with Side Group Rail to grant Genesis Fertilizers a lease to establish a fertilizer distribution SuperCenter located in Rycroft, Alta. The proposed facility will be next to the Side Group Rail Rycroft Reload location.

Genesis has been working to create a farmer-owned fertilizer production and distribution network to support farmers across Western Canada. “This facility will serve as a major fertilizer distribution hub for Northern Alberta and Northeastern British Columbia,” said Jason Mann, Genesis CEO. “Expanding our distribution capacity in the Peace region demonstrates Genesis’ commitment to vertically integrate farming businesses, allowing investors to participate up the agri-business value chain to maximize farm profitability.”

With the construction of the Genesis SuperCenter at Belle Plaine, Sask., underway and a proposed farmer-owned 700,000 mt/y urea plant (GM June 11, p. 1), Genesis said it is focusing its efforts together with Axcess Capital to raise capital for the next phase. This phase will consist of doing the front-end engineering and design work for the urea plant, along with the construction of two SuperCenters, including one in the Peace River region.

Paradeep Phosphates IPO Reported; Funding to Finance Goa Purchase

India, News, News Briefs

India’s Paradeep Phosphates Ltd. (PPL), Bhubaneswar, Odisha, has filed draft papers with capital markets regulator Sebi to raise funds through an initial public offering, according to filings cited by the Economic Times. The IPO includes equity shares worth Rs1,255 crore and an offer of up to 120,035,800 shares by existing shareholders and promoters.

Under the deal, Zuari Maroc Phosphates Pvt Ltd. (ZMPPL) will offer up to 75,46,800 shares, while the Government of India will offer 112,489,000 equity shares. ZMPPL, a joint venture of Zuari Agro Chemicals and Maroc Phosphore SA, a wholly owned subsidiary of OCP SA, holds 80.45 percent of PPL, and the Government of India owns 19.55 percent stake.

Part of the IPO proceeds will go to finance the acquisition of the Goa manufacturing facility (GM Feb. 26, p. 37). The Zuari Agro Chemicals Ltd. Board of Directors on Feb. 22 announced that it has approved the sale of the company’s nitrogen and NPK fertilizer plant at Goa and associated businesses to PPL for an agreed enterprise value of $280 million. The board approved the sale in-principle last summer (GM June 26, 2020). The Goa site has four production units comprising ammonia and urea, as well as two NPK units

PPL has 1.2 million mt/y production capacity for DAP, NPK, and NP.

ADNOC to Ship Third Blue NH3 Cargo

ADNOC - Abu Dhabi, Blue Ammonia, News, News Briefs

Abu Dhabi National Oil Co. (ADNOC) will send a third blue ammonia cargo to Japan. It will go to Inpex Corp. for use in power generation, according to a statement cited by Bloomberg. The news quickly follows the announcement of ADNOC’s first shipment to Itochu Corp. (GM Aug. 6, p. 1) and the second to Idemitsu Corp, both in Japan. The cargoes will be sent this year, with ADNOC not specifying a date, volumes, or price of the sales.

Fertiglobe, a partnership between Amsterdam-based OCI NV and ADNOC, will produce the fuel in the emirate of Abu Dhabi.

Saudi Arabia’s Aramco sent a trial cargo of blue ammonia to Japan in September.

Mitsui OSK to Build Giant NH3 Vessel, Inks MOU with Origin Energy

Ammonia, Japan, News, News Briefs

Mitsui OSK Lines Ltd. (MOL), Tokyo, has inked a deal to build the world’s largest anhydrous ammonia ships, as well as a Memorandum of Understanding (MOU) with Origin Energy, Sydney, for a joint study to build a green ammonia supply chain.

MOL’s Phoenix Tankers Pte. Ltd. signed the ship deal with Namura Shipbuilding Co. Ltd., Osaka, for the construction of two very large gas carriers (VLGCs) to transport liquefied petroleum gas (LPG) and ammonia.

Namura Shipbuilding will construct the two vessels at its Imari Shipyard, under a technical tie-up with Mitsubishi Shipbuilding Co. Ltd., Kanagawa Prefecture. The vessels are slated for delivery in succession after 2023.

MOL said the vessels are presently the world’s largest-scale ammonia carriers. The very large gas carriers will each have a length overall (LOA) of 230 meters, a beam of 36.6 meters, a draught of 12 meters, a total cargo capacity of 87,000 cubic meters, and a Mitsui-MAN dual-fuel engine that can also operate on LPG. In addition, they will be built with an eye toward conversion to ammonia fuel in the future. The company noted that LPG and ammonia fuels have similar characteristics.

As for the MOU, Origin is pursuing a number of green ammonia and hydrogen projects, including a green ammonia export project in Bell Bay, Tasmania (GM Nov. 20, 2020), with the first cargo targeted for 2026. MOL and Origin will complete a feasibility study on marine transportation of ammonia, demand in Japan and Asia, and developing a supply chain by December of this year.

Turkey’s Eti Bakir Plans DAP Plant

Di-Ammonium Phosphate, News, News Briefs, Turkey

Turkey’s Eti Bakir AS, Kastamonu, plans to build to 1.5 billion lira (US$177 million) DAP plant in Samsun, according to an emailed statement from parent conglomerate Cengiz Holding, Istanbul, reported by Bloomberg.

When completed in 2025, the plant would produce 250,000 mt of DAP, boosting DAP output to 625,000 mt/y, according to Eti Bakir CEO Asim Akbas, with total fertilizer production going to 1.2 million mt/y.

Carbon Recycling, JM Collaborate on Methanol Plants

Carbon Dioxide, London, Methanol, News, News Briefs

Carbon Recycling International (CRI), Kopavogur, Iceland, and Johnson Matthey (JM), London, have agreed on a long-term exclusive catalyst supply agreement for the use of JM’s KATALCOTM methanol catalysts in CRI’s Emissions-To-Liquids (ETL) designed CO2 to methanol plants. They said this offering helps meet the urgent need to remove carbon emissions in hard-to-decarbonize sectors of the economy.

Conventional methanol production involves fossil feedstocks such as natural gas or coal. Methanol manufactured with CRI’s ETL process using JM catalysts provides a route to sustainable methanol from CO2. This can be recovered from either industrial processes or biomass, such as waste and residues, or atmospheric sources.

Pivot Bio Launches Snack Line

California, News, News Briefs, Nitrogen, Specialty

Microbial nitrogen provider Pivot Bio, Berkeley, Calif., reported on Oct. 14 the launch of Connect, a new line of snack foods grown by farmers using Pivot Bio’s microbial nitrogen instead of synthetic nitrogen fertilizers. The first Connect product is a gourmet yellow butterfly popcorn, 100 percent whole grain, non-GMO, unpopped popcorn kernels grown on a family farm in Nebraska. Connect Snacks are available to purchase at connectsnacks.com and Amazon. Pivot Bio anticipates launching a microwave popcorn product line next year.

Pivot Bio said its research found consumers are more inclined to purchase food that contributes to cleaner air and water when compared to general sustainability claims.

“Pivot Bio is committed to delivering better nitrogen to farmers that [is] better for them and our planet,” said Karsten Temme, CEO and Co-Founder of Pivot Bio. “We have a strong business with our first-of-its-kind microbial nitrogen. Launching a CPG brand is a natural next step for us. We want to connect consumers with farmers to start a conversation about the environmental benefits of crops that are powered by clean nitrogen from Pivot Bio microbes.”

Pivot Bio said about half of applied synthetic nitrogen never reaches the crop it was intended to fertilize. Instead, it contributes to five percent of greenhouse gas emissions and adversely impacts water quality.