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 pricing remained at $12.95-$13.05/unit rail-DEL in the Eastern Cornbelt for February tons. Sources said an increase is expected in March.

Western Cornbelt:

The phos acid market was steady at $12.85/unit rail-DEL in Nebraska, Missouri, and Iowa for February tons.

California:

Simplot’s postings for SPA and MGA remained at $12.00/unit rail-DEL in California and Arizona for February tons, with MGA referenced $12.20/unit FOB Lathrop and El Centro. Sources said another increase will take effect on March 1, but the new pricing level was not yet announced.

Pacific Northwest:

Phos acid was quoted at $12.00/unit rail-DEL in the Pacific Northwest for February tons, with Simplot referenced at $11.50/unit Pocatello, Idaho. Sources said pricing from Itafos will increase on March 1 to $13.65/unit DEL in the region. An increase from Simplot is also expected, although the company has not yet announced what the new March level will be.

India:

India phosphoric acid contracts were valued at $795/mt CFR for the first quarter, a $106/mt jump from the prior $689/mt CFR deal. The price was good on tons originating from both Morocco and North America.

Ammonium Polyphosphate

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

Eastern Cornbelt:

10-34-0 pricing in the Eastern Cornbelt was considerably higher, with sources quoting the regional market at $530-$565/st FOB in late February, up from $465-$495/st FOB earlier in the month.

Western Cornbelt:

10-34-0 prices were pegged in a broad range at $510-$565/st FOB in the Western Cornbelt, up significantly from last report, with the low confirmed in Nebraska and the upper end in the Iowa market.

California:

The 10-34-0 market remained at $515-$520/st FOB in the state, with 11-37-0 reported at $565-$570/st FOB for February tons. Sources said ammonium polyphosphate prices will also firm in March, in tandem with the phos acid increase.

Pacific Northwest:

Reference pricing for 10-34-0 in the Pacific Northwest remained at $511-$526/st FOB for February, depending on location, but sources said they expect an increase to roughly $535-$560/st FOB in March. 11-37-0 postings in the region for February were unchanged at $553-$568/st FOB, with delivered tons in Idaho pegged at $543/st within a limited freight zone.

Western Canada:

10-34-0 was quoted firmly at the C$840/mt DEL level in Western Canada for limited spring offers, up from C$780-$814/mt at last report, with sources saying the market is likely to strengthen again in the coming weeks. Several sources reported 10-34-0 supplies as essentially “sold out” in late February.

Muriate of Potash

Brazil, California, Eastern Cornbelt, India, Indonesia, Malaysia, Market Watch, Pacific N.W., Potash Muriate, Russia, U.S. Gulf, Western Canada, Western Cornbelt

U.S. Gulf:

Potash barge prices continued to be called $305-$325/st FOB for March. While some reported the higher end of the range, others cited profit taking for the lower end.

Eastern Cornbelt:

Potash was quoted at $350-$380/st FOB in the Eastern Cornbelt, with the Cincinnati market reported at the $360/st FOB level for new offers at midweek.

Western Cornbelt:

The potash market was pegged at $345-$375/st FOB in the Western Cornbelt, with the Catoosa/Inola market quoted at $345-$355/st FOB.

California:

Potash prices in California remained at the $455/st FOB level for 60 percent MOP and $465/st FOB for 62 percent.

Pacific Northwest:

Potash was pegged at $420-$430/st FOB and $425-$435/st rail-DEL in the Pacific Northwest, up roughly $15-$25/st from last report, depending on grade and location. Potash postings from Intrepid FOB Moab and Wendover, Utah, moved up $50/st on Feb. 8, to $425/st FOB for 60 percent white standard and $430/st FOB for 60 percent white granular.

Western Canada:

Western Canada sources reported potash pricing in a wide C$480-$530/mt range FOB Saskatchewan mines for Q2 offers, with the upper end reflecting the latest reference prices from producers. “For now, there is likely some fishing behind the net, but it is expected that values fill firm over the coming weeks,” said one regional source.

India:

Potash import purchases in the upcoming new fiscal year, starting April 1, may drop from an estimated 5.5 million mt in the current fiscal, according to a Bloomberg report this week, citing India’s biggest potash importer, Indian Potash Ltd. (IPL). IPL accounts for almost 50 percent of the country’s potash imports.

IPL Managing Director P.S. Gahlaut did not provide an import forecast, but said demand will weaken as India still has a sizeable potash stockpile. Furthermore, consumption of potash in India is very price sensitive, he told Bloomberg.“When prices have gone up, there is an immediate effect on consumption,” he said.

Gahlaut put potash stockpiles of companies and traders in the country at still more than 1 million mt. The proposed 11 percent cut in subsidies for imported phosphate fertilizers and potash for the new fiscal year will further dent demand, he said.

India’s potash imports were up 26 percent through the first 11 months of calendar 2020, at 4.7 million mt, according to Trade Data Monitor.

To date, Belarus Potash Co. (BPC) remains the only international supplier to sign a new contract supply deal with India at $247/mt with 180 days’ credit. While $17/mt higher than last year’s contract, the deal dismayed other major potash producers/suppliers who believe the price is not reflective of current market conditions.

Weaker Indian demand could put pressure on their price aspirations, as well as their volumes.

A tender by NFL for 275,000 mt of MOP closes on March 1 after being deferred from Feb. 22. The tender is for deliveries in four distinct periods between April and June.

Product Color Quantity (mt) Delivery Coast Tentative shipment period
MOP (Standard) Pink/Red 150,000 60,000 MT West 90,000 MT East 01.04.2021 – 15.06.2021
MOP (Standard) Pink/Red 75,000 30,000 MT West 45,000 MT East 01.09.2021 – 31.12.2021
MOP (Standard) White 25,000 25,000 MT West 01.04.2021 – 15.06.2021
MOP (Granular) Pink/Red 25,000 25,000 MT West 01.04.2021 – 15.06.2021

The corrigendum included dropping “crystalline/granular” as a requirement for the product, leaving only the generic requirements of being “free flowing” and the color of the MOP. Another change altered the minimum price for calculating discounts for large quantities from $230/mt CFR to $247/mt CFR with 180 days credit.

Brazil:

The potash market in Brazil tightened a bit, with the top end of last week’s range coming down. The new price being quoted in Paranagua is $280-$300/mt CFR. Sources said the shift came as the number of offers also dwindled.

Inland prices remained stable, with Rondonopolis reporting prices at $380-$419/mt FOB ex-warehouse. Likewise, Sorriso is stable at $399/mt FOB. The barter rate for 1 mt of MOP remains at 20 bags of soybeans and 55 bags of corn.

Russia:

Exports in 2020 were up slightly from 2019, according to Trade Data Monitor. The 2020 MOP exports were recorded at 9.5 million mt against 2019 exports of 9.4 million mt.

The top buyers were Brazil at 2.7 million mt, down from 3 million mt in 2019; China at 1.8 million mt, down from 2.3 million mt in 2019; Estonia at 837,000 mt, up from 437,000 mt in 2019; and India at 823,000 mt, up from 450,000 mt in 2019. An additional 21 countries imported 35,000 mt to 500,000 mt each.

Indonesia:

Imports of MOP in 2020 were reported at 2.9 million mt, according to Trade Data Monitor, up about 1.7 percent from 2.8 million mt in 2019. The largest supplier was Canada at 1.2 million mt, up from 962,000 mt in 2019. Belarus and Russia were the next largest suppliers at 569,000 mt and 496,000 mt, respectively.

Malaysia:

The country imported 1.3 million mt of MOP in 2020, up from 1.1 million mt in 2019. Canada sent 566,000 mt to Malaysia, followed by Russia at 246,000 mt.

Sulfur

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

Tampa:

Genscape reported a slow increase in activity at Midwest refineries impacted by the previous week’s extreme cold weather.

A “mild” uptick in activity was reported on a 75,500 crude distillation unit (CDU) and 16,200 barrel/d fluidic catalytic cracking unit (FCC) at HollyFrontier’s Tulsa East refinery. The CDU was reportedly shut on Feb. 16. Increased activity was also noted from the CVR plant in Wynnewood, Okla., including a slow operational ramp-up observed from a sulfur recovery unit.

First-quarter Tampa molten sulfur contracts were valued at $96/lt CFR, a $27/lt rise from $69/lt CFR in the prior period.

U.S. refining capacity plummeted for the week ending Feb. 19, the U.S. Energy Information Administration (EIA) reported, as refineries in the Gulf and Midwest grappled with fallout from the extreme cold snap.

Refiners operated at 68.6 percent of capacity for the period, a 14.5-point decline from the previous week’s 83.1 percent rate. The rate badly lagged both the year-ago 87.9 percent and the 83.0 percent five-year average.

Daily crude inputs were also down sharply at an average 12.230 million barrels/d, falling 2.589 million barrels/d from the previous week’s 14.819 million barrels/d rate.

U.S. Gulf:

A restart of Texas refineries shuttered during the previous week’s arctic blast will likely require weeks due to damage sustained in the freeze, sources reported.

Bloomberg reported extensive damage uncovered at a number of Texas’ largest facilities, including ExxonMobil Corp.’s 584,000 barrel/d Baytown and 369,000 barrel/d Beaumont refineries, the 585,000 barrel/d Marathon Galveston Bay plant in Texas City, and Total’s 225,000 barrel/d facility in Port Arthur.

The difficulties included ongoing power and water outages, burst and blocked pipes, leaks, and machinery and equipment damaged in the course of the freeze. The cold knocked out nearly 25 percent of gross nationwide refining capacity, according to Reuters.

Motiva Ent. was in the process of repairing damaged pipes at its 607,000 barrel/d Port Arthur plant during the week, while LyondellBasell Ind. was noted repairing leaks at the company’s 268,000 barrel/d Houston refinery. Permission from the Electric Reliability Council of Texas to restart the facility’s electricity-powered motors was also pending on Feb. 21.

Exxon began restart efforts at Baytown on Feb. 22 after restoring electric power and limited water supply, Reuters reported, while Genscape noted increasing activity from a 119,000 barrel/d CDU and 47,000 barrel/d vacuum distillation unit (VDU) at the company’s Beaumont plant.

Marathon’s Galveston Bay refinery on Feb. 23 was reported increasing activity on a 280,000 barrel/d CDU, 128,000 barrel/d VDU, and 145,000 barrel/d FCC. The activity did not constitute a restart, however, as all monitored units have remained below operational levels since shutting down on Feb. 15.

Valero restarted a 150,000 barrel/d CDU and 48,000 barrel/d VDU at its Port Arthur facility, while increased activity was observed from multiple other units on Feb. 24-25. A 54,500 barrel/d FCC and 29,500 barrel/d hydrotreater were restarted at the company’s McKee, Texas, refinery on Feb. 22.

Increased activity was also reported from numerous units at Valero’s East and West Corpus Christi facilities, while Genscape described new activity from a sulfur unit, 65,000 barrel/d FCC, 95,000 barrel/d CDU, and 38,000 barrel/d VDU at the Valero plant in Houston.

Valero also restarted two sulfur recovery units, a 128,000 barrel/d CDU, a 50,000 barrel/d VDU, and a 32,000 barrel/d catalytic reformer in Meraux, La., on Feb. 21. A 55,000 barrel/d hydrocracker that restarted early on Feb. 22 was unexpectedly shut down later the same day. Genscape on Feb. 25 reported an additional attempt to restart the unit.

Multiple unit restarts were observed from the Marathon and Flint Hills refineries in El Paso, Texas, on Feb. 21-25. Genscape on Feb. 25 described increased activity from multiple units at the Phillips 66 refinery in Lake Charles, La., including a 125,000 barrel/d CDU; an 83,000 barrel/d CDU; a 53,100 barrel/d VDU; a 34,000 barrel/d catalytic reformer; and a 12,000 barrel/d catalytic reformer.

Price ideas on the Gulf export sulfur market were heard in a general $150-$160/mt FOB range, firming from $135-$150/mt FOB in the prior report.

Brazil:

Most-recent Brazil imports were heard moving to $180-$185/mt CFR, up from $170-$180/mt CFR posted previously.

Vancouver:

Sources reported Vancouver spot in the $155-$161/mt FOB range, climbing from the week-ago $140-$149/mt FOB.

Alberta:

Genscape on Feb. 23 reported the restart of a 60,100 barrel/d CDU at the Suncor refinery in Edmonton. The unit was reported shutting down on Feb. 21. All of the plant’s other monitored units remained online on Feb. 23.

Alberta sulfur netbacks were described firming to (-)$31-$91/mt FOB based on rising values at Vancouver. The market was previously reported in the (-)$31-(-)$79/mt FOB range.

West Coast:

Market watchers noted West Coast solid sulfur following Vancouver higher to the $155-$161/mt FOB range, up from $140-$149/mt FOB at last report. Molten sulfur contracts were valued at $70-$77/lt FOB for first-quarter loading.

China:

Sources put China price ideas at a general $185-$195/mt CFR, rising from $173-$178/mt CFR previously. Players predicted the next round of business to land in the $190-$200/mt CFR range.

ADNOC:

February ADNOC offers were noted at $128/mt FOB Ruwais, rising $26/mt from $102/mt FOB in January.

Qatar:

Prills loading from Qatar were offered at $125/mt FOB Ras Laffan for February, a $24/mt increase from $101/mt FOB in the prior month.

Sulfuric Acid

Brazil, Gulf Coast, Midwest, Sulfuric Acid, U.S. Gulf, West Coast

U.S. Gulf:

Sources described price ideas on sulfuric acid vessels imported to the U.S. Gulf firming to $120-$130/mt CFR, based on new business heard into Brazil.

Gulf Coast:

Gulf Coast-delivered tons were quoted at $85-$110/st DEL for 2021 contracts. Contracts for the Lower Atlantic region were reported in a general $90-$110/st DEL range.

Midwest:

The 2021 Midwest sulacid market kept pace with the Gulf at $85-$110/st DEL, sources said.

West Coast:

Sulfuric acid delivered to the West Coast tracked in the $100-$130/st DEL range for 2021 agreements.

Brazil:

Brazil imports were heard climbing to the $125-$130/mt CFR range, increasing from $115-$120/mt CFR noted previously.

Ammonium Thiosulfate

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

Eastern Cornbelt:

Ammonium thiosulfate pricing was quoted at $245-$260/st FOB in the Eastern Cornbelt, up $10/st from last report. Sources pegged the Cincinnati market at the $250/st FOB level at midweek. IOC’s Feb. 25 postings included $250/st FOB Ohio River terminals and $200/st FOB Houston, Texas, up $15/st from the last reference prices.

Western Cornbelt:

The ammonium thiosulfate market was pegged at $235-$255/st FOB in the Western Cornbelt, up $10/st from last report.

California:

The ammonium thiosulfate market was unchanged at $240-$279/st FOB in California, depending on grade and location, with the upper end for 12-0-0-26 and the low for 11-0-0-24 FOB Stockton. Delivered amthio was pegged at $260-$290/st in the state.

Pacific Northwest:

The ammonium thiosulfate market was up $5/st from last report, to $252/st FOB in Washington and $255-$270/st DEL in the Pacific Northwest, depending on location.

Sulfate of Potash

California, Market Watch, Pacific N.W., Specialty, Sulfate of Potash

California:

SOP prices were moving up in California on higher producer postings, with the market quoted at $615-$625/st FOB, up from the last reported range of $585-$610/st FOB.

Pacific Northwest:

The SOP market was up $20/st from last report, to $600-$610/st FOB in the Pacific Northwest in late February, with the higher end of that range also quoted for delivered tons on a spot basis.