All posts by mickeybarb@charter.net

Phosphoric Acid

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

Eastern Cornbelt:

Phos acid prices for August remained at $13.15/unit rail-DEL in Illinois and Wisconsin, and $13.30/unit rail-DEL in Ohio.

Western Cornbelt:

Phos acid pricing for August was unchanged at $13.05/unit rail-DEL in Nebraska, Missouri, and Iowa.

California:

The phos acid market was steady at $13.75/unit rail-DEL in California for August shipment, with MGA referenced at the $13.95/unit level FOB Lathrop and El Centro.

Pacific Northwest:

The phosphoric acid market remained at $13.25/unit FOB Pocatello, Idaho, and $13.75/unit rail-DEL in the Pacific Northwest for August tons.

India:

Phosphoric acid contracts at India were reported at $1,160/mt CFR for the current quarter, up $162/mt from the prior $998/mt valuation.

Ammonium Polyphosphate

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

Eastern Cornbelt:

10-34-0 was steady at $580-$600/st FOB in the Eastern Cornbelt for the last reported offers, with the low at Cincinnati.

Western Cornbelt:

The 10-34-0 market remained at $575-$595/st FOB in the Western Cornbelt for the last reported business.

California:

The10-34-0 market was quoted at $603-$608/st FOB in California, unchanged from last report, with the 11-37-0 market pegged at $672-$677/st FOB for August tons.

Pacific Northwest:

The 10-34-0 market was steady at $605-$610/st FOB in the Pacific Northwest, with the posted price FOB Hedges, Wash., at the $609/st level. Delivered 10-34-0 was pegged at the $635/st level in Idaho and Utah. 11-37-0 was reported at $659/st FOB Hedges.

Western Canada:

10-34-0 remained at a firm C$850/mt DEL for the last offers in Western Canada.

Muriate of Potash

Brazil, California, China, Eastern Cornbelt, Market Watch, Pacific N.W., Potash, Southern Plains, U.S. Gulf, Western Canada, Western Cornbelt

U.S. Gulf:

Early week trading was reported in the $530-$540/st FOB range, down from the week-ago $530-$550/st FOB. However, after the news that the U.S. was going to levy sanctions against Belarus producer Belaruskali, a big question mark was stamped on the market. Would this really impact potash imports from Belarus? Analysts quickly noted that marketer Belarusian Potash Co. (BPC) was not mentioned in the sanctions.

Assuming there would be sanctions, some sources predicted higher prices for NOLA, putting price ideas back to $550/st FOB or above, though no new trades at those levels were confirmed during the week.

Nutrien retained its new pricing from the previous week, continuing to post inland terminals at $570/st, with no immediate change after the Belarus news. In an earnings call on Aug. 10, Nutrien President and CEO Mayo Schmidt expressed concern over higher prices in Brazil at $680/mt CFR, fearing the higher numbers could cause demand destruction. Others offered the same fears at NOLA.

Generally, if sanctions are indeed imposed, most were expecting a NOLA price uptick. Absent sanctions, the market could find stability at current levels. While Belarus imports make up only about 5 percent of U.S. potash imports, or approximately 550,000 mt/y, their impact on the NOLA market is much more pronounced.

Correction: The NOLA UAN price for the issue dated Aug. 6, p. 7, was $310/st. The price in the spot box was incorrectly reported at $300/st.

Eastern Cornbelt:

Potash was quoted at $570-$605/st FOB in the Eastern Cornbelt, depending on location and time of shipment, with the low reflecting recent offers from Nutrien for Q4 shipment. While a number of suppliers reportedly pulled offers following reports of new U.S. sanctions against Belarus producer Belaruskali, sources said Q4 pricing was still on the table during the week, at least until Aug. 13.

Potash pricing in the Cincinnati market spanned a broad range from $585-$605/st FOB, depending on supplier.

Western Cornbelt:

Sources continued to quote the prompt potash market in a broad range at $570-$600/st FOB in the Western Cornbelt, with the low confirmed at St. Louis and the high at Caruthersville. The Camanche market was pegged at a firm $585/st FOB for August-September tons, while St. Paul pricing fell in the $565-$575/st FOB range during the week.

Southern Plains:

Intrepid on Aug. 9 announced an $80/st potash pricing increase. New postings FOB Carlsbad, N.M., firmed to $620/st for 60 percent white granular and $627/st for 62 percent white standard. The company said these levels reflect a $200/st increase over this year’s summer fill offers.

California:

Sources reported firming prices for potash in California. The market had reportedly strengthened to $695-$705/st FOB for Q4 shipment, with the low for 60 percent and the high for 62 percent MOP. Those levels were up significantly from the last prompt business in the $535-$545/st FOB range.

Pacific Northwest:

Sources reported significantly higher potash prices in the Pacific Northwest in early August. The market was quoted at $642-$652/st FOB warehouses in Washington, Oregon, and northern Idaho for Q4 shipment, with the low for 60 percent and the high for 62 percent MOP. Those levels were up from the last prompt offers in the $460-$470/st FOB range.

Intrepid announced an $80/st potash pricing increase on Aug. 9, with postings FOB Moab and Wendover, Utah, firming to $620/st for 60 percent white granular and $615/st for 60 percent white standard.

Western Canada:

Prices were moving up dramatically for potash in Western Canada. The market was reported at a firm C$755-$765/mt FOB Saskatchewan mines for Q4 truck tons, up from C$560/mt FOB for the last prompt business. The warehouse market in Eastern Canada was also higher, with sources reporting a C$795/mt FOB level now for Q4 tons.

China:

Nutrien continues to believe that China needs to negotiate a new potash supply contract before the end of the year, as inventories in the country draw down amid continuing robust demand.

Nutrien President and CEO Mayo Schmidt reminded analysts at a company earnings call on Aug. 10 that Canpotex is already fully committed until November, and reiterated that Nutrien would continue to focus on higher netback regions than China.

The Mosaic Co. last week estimated potash inventory at China’s ports at below 2.3 million mt as of late July, about 35 percent lower than the same time last year, according to Jenny Wang, Mosaic Vice President, Global Strategy Marketing (GM Aug. 6. p. 15). The company believes China’s potash import buyers will need to come to the table soon for a new supply contract.

Brazil:

The MOP market price in Paranagua moved up to $690-$710/mt CFR. Sources said steady demand and limited availability are pushing prices higher. Some traders also said delays in the arrival of vessels with MOP have added some uncertainty that has pushed up the cost.

Demand continues inland, but mostly for October deliveries. Rondonopolis is now pegged at $770-$850/mt FOB ex-warehouse, a jump of $20-$50/mt.The barter rate for 1 mt of MOP in Sorriso is put at 40 bags of soy or 92 bags of corn. No Rondonopolis rate is available.

Sulfur

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

Tampa:

Genscape on Aug. 9 reported the restart of a 102,000 barrel/d coking unit at the BP refinery in Whiting, Ind. The unit had been offline since July 25 due to a power loss. The facility was also noted shutting an 85,000 barrel/d hydrotreater on Aug. 10.

Decreased activity was reported from a 65,000 barrel/d coker at the Phillips 66 plant in Wood River, Ill., on Aug. 10. An additional 16,000 barrel/d coker has remained offline at the plant since March 2020.

Molten sulfur delivered to Tampa was contracted at $195/lt CFR for the third quarter, up $3/mt from the $192/lt CFR level in the prior period.

High refinery run rates posted nationwide have contributed to “normalizing” supply in the domestic U.S. sulfur market, sources said.

U.S. refining capacity rose 0.5 percent for the week ending Aug. 6, the Energy Information Administration (EIA) reported, to 91.8 percent from the week-ago 91.3 percent. The rate topped the year-ago 81.0 percent while lagging the 92.4 percent five-year average.

Crude inputs also moved higher, notching an average 16.197 million barrels/d through the period, a 277,000 barrel/d increase from 15.920 million barrels/d in the prior report.

U.S. Gulf:

Motiva on Aug. 7 successfully restarted the 210,000 barrel/d VPS-4 and 85,000 barrel/d VPS-2 crude sections at the company’s refinery in Port Arthur, Texas, Genscape reported. Both units were knocked offline during a power failure on Aug. 5.

Shell successfully restarted a 110,000 barrel/d FCC at the company’s Norco, La., refinery, Genscape reported on Aug. 11. The unit was taken offline on Aug. 5 due to a leak.

Phillips 66 on Aug. 11 was reported halting operation on the 65,000 barrel/d No. 2 CTU crude distillation unit (CDU) and a 53,000 barrel/d VDU at the company’s Lake Charles, La., refinery.

Chevron was reported halting operation on a 41,000 barrel/d vacuum distillation unit (VDU) in Pasadena, Texas, on Aug. 6. The unit was previously restarted on Aug. 4 after going offline on Aug. 1. Increased heating was observed from the unit on Aug. 12, although activity remained below normal levels.

A 35,000 barrel/d hydrotreater and a 7,200 barrel/d alkylation unit have remained shut at Pasadena since Aug. 1, while a 56,000 barrel/d fluidic catalytic cracking unit (FCC) taken offline on Aug. 1 is expected to be permanently idled.

Valero’s Meraux, La., plant saw a 32,000 barrel/d catalytic reforming unit shut on Aug. 8. A 30,000 barrel/d hydrocracker was taken offline on Aug. 11 at the Valero Three Rivers, Texas, refinery.

Bursting sulfur supply on the U.S. Gulf led to a number of offshore prill trades during the week, sources said, the market’s first reported spot activity in months. Cargoes loading from Beaumont and Galveston, Texas, were noted changing hands in the $173-$181/mt FOB range, just shy of week-ago price ideas reported in the $175-$185/mt FOB range.

“(The Gulf) is too full and had to export,” said one source. Logistics issues were previously noted contributing to swelling of sulfur inventories at a number of locations on the U.S. Gulf.

Brazil:

The recent Brazil spot import market continued in the $216-$221/mt CFR range, sources said. Contracts for the third quarter were noted at $221-$223/mt CFR, up from $213-$214/mt CFR reported for the second quarter.

Mexico:

An overnight fire at Mexico’s largest refinery, the 330,000 barrel/d Santa Cruz facility located in the southern state of Oaxaca, was extinguished early on Aug. 7, Reuters reported. Owned by state-run oil company Pemex, the refinery reportedly continued at full operation while the fire was happening. It was unclear what started the blaze.

Vancouver:

Price ideas on Vancouver prills continued in the $173-$176/mt FOB range, players said, unmoved from the prior report.

Alberta:

Sources reported just one out of three major Western Canadian oil upgraders running at full capacity for the week, driving supply snugness on sulfur tons sourced from the region. Both Suncor and Syncrude have been noted producing at reduced rates in recent weeks.

Alberta sulfur netbacks continued to be heard in the $68-$106/mt FOB range, steady from one week earlier.

West Coast:

Chevron on Aug. 8 shut the 65,000 barrel/d Cat Feed Hydrotreater at its Richmond, Calif., plant. The unit was reported successfully restarting on Aug. 11. A power interruption previously knocked the hydrotreater offline between July 25 and Aug. 1.

Marathon’s Wilmington, Calif., refinery suffered an unplanned 32,000 barrel/d hydrocracker shutdown, Genscape reported on Aug. 12. The unit was previously offline on Aug. 1-4.

PBF Energy initiated restart protocols on a 22,000 barrel/d alkylation unit in Torrance, Calif., on Aug. 8 after shutting down for maintenance on July 11. A full restart was reported on Aug. 11.

Price ideas for prills loading from the West Coast continued to be heard in the $173-$176/mt FOB range, sources indicated. Molten contracts were valued at $150-$155/lt FOB for loading in the third quarter, an increase from $140-$155/lt FOB in the prior three-month period.

China:

Port sulfur inventories at China are now estimated at 1.6 million mt, down from nearby highs reported up to 3 million mt. Sources continued to predict rising import prices in the near term. For now, however, the market was holding flat in the $213-$216/mt CFR range, steady from the prior report.

Domestic sales reported at a $220/mt CFR import-equivalent added to indications of an impending rise in import pricing.

ADNOC:

Abu Dhabi National Oil Co. offers for August were reported at $175/mt FOB Ruwais, unchanged from July.

Qatar:

Sources reported August Muntajat prill offers at $164/mt FOB Ras Laffan, falling $15/mt from $179/mt FOB in the prior month.

Sulfuric Acid

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

U.S. Gulf:

Spot price ideas on vessels imported to the U.S. Gulf were heard firming to $220-$225/mt CFR, up from $210-$215/mt CFR in the prior report.

Gulf Coast:

Sulfuric acid delivered to U.S. Gulf Coast locations was quoted in the $85-$110/st DEL range for 2021 agreements. Players reported annual Lower Atlantic market contracts in the $90-$110/st DEL range.

Midwest:

Sources called the Midwest market even with the Gulf Coast at $85-$110/st DEL.

West Coast:

West Coast sulacid pricing carried $100-$130/st DEL pricing for current-year agreements, players reported.

Brazil:

The Brazil spot market was noted firming to $245-$250/mt CFR, up from $225-$230/mt CFR in the prior report.

China:

Restrictions on power consumption imposed in a number of Chinese provinces have continued to impact smelter production, numerous sources reported.

Fresh curbs announced in July for aluminum and zinc smelters in the southern Yunnan province, as well as aluminum and copper smelters in Guangxi autonomous region, will trigger output reductions during the late-summer period, Reuters reported.

Private copper smelter Guangxi Nanguo took the opportunity to move up a planned 45-day turnaround, shutting the 300,000 mt/y unit through most of the August-September period, according to MetalBulletin.com.

Aluminum smelters in Guanxi were notified by local electricity provider Guangxi Power Grid Co. of a mandatory 30 percent reduction in power consumption in effect as of Aug. 15, Fastmarkets reported. Total aluminum smelting capacity from Guangxi was noted at 1.9 million mt/y, with current operating rates pegged at 93 percent.

Denmark:

Haldor Topsoe, Lyngby, Denmark reported on Aug. 12 that it has increased prices for sulfuric acid by €0.25 per liter. It said the increase was driven by a substantial increase in the price of vanadium, which is a necessary raw material for sulfuric acid catalysts.

Ammonium Thiosulfate

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

Eastern Cornbelt:

Ammonium thiosulfate pricing remained at $400-$455/st FOB in the Eastern Cornbelt, with the high reported out of inland tanks in Ohio and the low reflecting fill offers at Terre Haute, Ind.

Western Cornbelt:

The ammonium thiosulfate market was steady at the $400/st FOB level in Iowa for fill tons.

California:

Sources reported limited ammonium thiosulfate offers at the $327/st FOB level in California in early August.

Pacific Northwest:

Ammonium thiosulfate pricing had reportedly firmed to $325-$335/st DEL in the Pacific Northwest, up $10/st at the low end of the range.

Western Canada:

Ammonium thiosulfate prices ranged broadly in Western Canada, from a low of C$430/mt to a high of C$505/mt DEL for the last offers in the region.