All posts by mickeybarb@charter.net

Bayer, Kimitec Partner on Biologicals

Bayer, Monheim, Germany, and Kimitec, Almeria, Spain, on Feb. 2 announced a new strategic partnership focused on accelerating the development and commercialization of biological crop protection solutions and biostimulants.

Both companies will become key partners to advance and establish biological solutions derived from natural sources: crop protection products that address pests, diseases, and weeds, as well as biostimulants to promote plant growth.

Kimitec operates the MAAVi Innovation Center, Europe’s largest biotechnological innovation hub, with 15 years of experience in the research and discovery of natural molecules and compounds for agriculture and food sectors.

By leveraging Bayer’s product development expertise with Kimitec’s discovery capabilities, the parties said biological product development will be accelerated to build integrated crop management solutions that can scale and develop through Bayer’s global infrastructure backbone. This includes field testing, product support, and commercialization.

ICL Moves on AgriFood Front

ICL announced that its AgriFood innovation and investment platform, ICL Planet Startup Hub, has invested €2.75 million in Arkeon GmbH, Vienna.

The investment will support Arkeon’s sustainable one-step fermentation bioprocess, which creates customizable protein ingredients by capturing the greenhouse gas carbon dioxide and converting it into the 20 proteinogenic amino acids necessary for human nutrition. The resulting alternative proteins are carbon negative and clean-label functional ingredients.

Supermarket Chain Rolls-Out Alternative Ferts

UK supermarket chain Tesco on Jan. 27 announced that it is partnering with five of its largest field vegetable suppliers to launch the UK’s largest ever commercial roll-out of low-carbon fertilizer, which it said will boost UK’s food security while also reducing greenhouse gas emissions in its supply chain. It expects the roll-out to reduce GHG emissions by up to 20% in the first year alone, at no extra cost to farmers.

Tesco said eight promising fertilizer alternatives will be used across 1,300 hectares in the 2023 growing season, with plans to scale up to a minimum of 4,000 hectares in 2024 across Tesco’s field vegetable suppliers. Tesco said the first year of the roll-out should result in up to 70,000 mt of fresh produce and will include lettuces, carrots, onions, brassicas, and potatoes. The 2024 tonnage is expected to grow to 200,000 mt.

Tesco also plans to introduce low carbon alternatives to other produce areas, including wheat and barley, as well as grasslands in the beef, dairy, and lamb supply chains.

Six of the eight fertilizer producers manufacture their product in the UK, from material including food waste, chicken litter, fire extinguisher waste, and algae. Tesco said the UK currently imports around 60% of the fertilizer it needs, while UK production has recently been hit by the closure of CF Industries Holdings Inc.’s Ince nitrogen plant near Chester (GM June 10, 2022). Tesco said that closure represented 30% of the UK’s fertilizer capacity.

The fertilizers being used in the trial are Bio-F Solutions, algae-based products; CCm, food waste and AD digestate; JSE Systems, chicken litter; Phos Cycle, fire extinguisher waste; Poly 4, mined material; R-Leaf, chemical composite; Veolia, food waste and AD digestate; and Yara Crop Nutrition, renewables.

Report Issued on Fatal Ammonia Incident

Technical Safety BC, Vancouver, on Jan. 26 issued a statement urging owners, operators, and those who work with ammonia refrigeration systems to be more vigilant following an investigation into a fatal ammonia incident at an ice making facility in the Mount Paul Industrial Park located on Tḱemlúps te Secwépemc reserve in Kamloops.

The incident on May 26, 2022, led to a significant amount of ammonia being released into the surrounding area, resulting in one fatality, multiple exposures, a local evacuation, and the temporary shutdown of nearby businesses (GM May 27, 2022).

The investigation report found the primary cause of the incident was a failure to remove ammonia from the refrigeration system ahead of its disassembly. The investigation concluded that the ammonia release occurred when a ball valve holding back pressurized ammonia for the entire system was opened. However, those working on the disassembly understood the system had been previously emptied.

“Our safety system is built on the foundation of ensuring that work associated with hazards is only completed by persons with the necessary skills and knowledge,” said Jeff Coleman, Director, Technical Programs, Technical Safety BC. “Unfortunately, when this equipment was shut down in 2015, the ammonia was not removed. Then in 2022, a licensed refrigeration contractor was not engaged to prepare the equipment for final disassembly.”

Between the initial shut down in 2015 and the incident in 2022, organizational changes, unclear communication, and incorrect assessments were all contributing factors to the ammonia not being removed. In addition, previously cut piping and disconnected gauges identified pieces of the system as being empty. This led to the incorrect assumption that the entire ammonia system was empty, despite ammonia being found the day before the incident.

Technical Safety BC shared key learnings and recommendations relating to the incident:

Key learnings:

  • Leading up to the incident, workers unfamiliar with ammonia relied on the guidance of previously qualified refrigeration mechanics. This resulted in the work continuing when it likely would have otherwise been stopped.
  • Only those with the necessary skills and knowledge should be conducting activities with hazardous work. This principle applies throughout the life cycle of regulated systems, including the stage of dismantling and decommissioning.
  • Licensed contractors must validate that ammonia and oil have been removed from a system and that equipment is ready for disassembly and transportation.

Recommendations:

  1. It is recommended that when planning for and facilitating the final shut down and disassembly of refrigeration equipment, owners and managers directly engage a licensed contractor to validate:
    1. ammonia and oil are removed; and
    1. equipment is ready for safe disassembly and transportation.
  2. It is recommended that persons who previously held, or currently hold, a technical qualification do not counsel unqualified persons to do regulated work. Qualified persons are reminded that the Safety Standards Act and Regulations prohibit unauthorized persons from doing regulated work unless they are being supervised by a qualified person.
  3. It is recommended that Canadian Standards Association (CSA) adopt or develop requirements for the dismantling, disassembly, and/or decommissioning of refrigeration systems and equipment.

Namibia’s Hyphen Hydrogen Inks Additional Green Ammonia Offtake Agreements

Hyphen Hydrogen Energy (Hyphen), Windhoek, Namibia, on Feb. 2 announced the signing of nonbinding Memorandums of Understanding (MOUs) with two major industrial companies with the aim of Hyphen providing them with up to 750,000 mt/y of green ammonia.

The agreements with an unidentified major chemical company and Approtium, a South Korean hydrogen producer, are targeting offtake of up to 500,000 mt and 250,000 mt a year, respectively.

The agreements follow Hyphen’s recently signed MOU with RWE Supply and Trading (RWEST), the German multinational utility company, for supply of up to 300,000 mt/y of green ammonia from 2027 (GM Dec. 9, 2022). Hyphen has now concluded MOUs for volumes exceeding 1 million mt/y of ammonia.

Hyphen, a Namibian registered, green hydrogen development company, is targeting annual production of 1 million mt of green ammonia by 2027. The company plans to increase annual production to 2 million mt of green ammonia by 2029 for export to international markets, in addition to its commitments to supply and decarbonize energy domestically within Namibia and the southern Africa region.

“The conclusion of these agreements with leading players in the energy and industrial sectors marks another exciting step in Hyphen’s journey to export green hydrogen globally,” said Marco Raffinetti, Hyphen CEO. “Although Hyphen’s primary focus is the supply of hydrogen into Europe, and Germany in particular, South Korea is expected to emerge as a key market in the green hydrogen sector, in which Approtium will be a major player. These partnerships with offtakers from various geographical regions firmly cement Namibia’s position as a key emerging player in the global green hydrogen industry.”

Hyphen was specifically designed to develop green hydrogen projects in Namibia for international, regional, and domestic supply, and is eyeing a US$10 billion complex. Hyphen comprises two shareholder groups – ENERTRAG SE, the international renewable energy company, and Nicholas Holding Ltd., an investment and project development company.

Hyphen successfully bid on and has been awarded preferred bidder status on approximately 4,000 square kilometers of land within the Tsau/Khaeb National Park for the development of Namibia’s first fully vertically integrated GW scale green hydrogen project. This project is planned to be developed in phases, at full development targeting 300,000 mt/y of green hydrogen production a year from 5-6GW of renewable generation capacity and a 3GW electrolyzer.

The project, which will be located near the town of Luederitz, will use solar and wind power for the production of green hydrogen, which would then be turned into ammonia. The players see Namibia’s Skeleton Coast on the Atlantic Ocean as ideal for green hydrogen production due to an abundance of sun and wind.

The project, once fully developed, will employ an estimated 3,000 people, with 15,000 construction jobs supported over the four-year construction period, over 90% of which are expected to be filled by Namibians.

Approtium (formerly named Deokyang) is the largest independent hydrogen provider in Korea and was established 60 years ago in the Ulsan. It was wholly acquired by Macquarie in December 2021. Since the transition of ownership, it has made significant investments to the facilities, to process management, and to its people to improve its ability to provide hydrogen and liquid CO2 to its clients in the Korean market.

Borealis AG – Management Brief

Vienna-based fertilizers and polyolefins major Borealis AG has appointed Stefan Toader as Vice President Reliability, Turnarounds, and Projects. The appointment was effective Dec. 1, 2022.

In this position, he is in charge of Borealis’ management and operations of plant maintenance, turnarounds – scheduled events for a plant revamp and/or renewal – and related projects. Before joining Borealis, he worked in several managerial positions at OMV Petrom, where he started in 1998.

Indorama Acquires Uzbek Nitrogen Fertilizer Producer Farg’onaazot

Singapore-based Indorama Corp. Pte. Ltd. has acquired a 99.02% stake in Uzbekistan nitrogen fertilizer producer JSC Farg’onaazot according to a report by Fertilizer Daily, citing the press-service of Uzbekistan’s State Assets Management Agency.

Indorama paid $140 million for the assets, and also has pledged to invest $100 million in the modernization of the Farg’onaazot facilities.

The Ukbez producer’s capacity includes 475,000 mt/y for ammonia, 400,000 mt/y for urea, 550,000 mt/y for ammonium nitrate, and 16,500 mt/y for superphosphate, as well as production capacity for liquid complex fertilizers and NPK fertilizers and a range of chemicals and industrial gases, according to Farg’onaazot’s website.

Last month, Indorama – via subsidiary company Excelus Holdings LLC, Georgia – acquired 100% shares in JSC Rustavi Azot Georgia from JSC EUI Investments (GM Jan. 20, p. 27). Indorama said Rustavi is one of the largest producers of fertilizers and industrial chemical products in the Caucasus region.

In its Jan. 12 statement announcing the purchase of the Georgian fertilizer company and plans for modernization of the plant, Indorama said the acquisition marks another important step towards its long-term commitment to the fertilizer sector.

This latest acquisition in Uzbekistan may also demonstrate the Singapore corporation’s plans to expand its fertilizer supply presence in the CIS markets.

OCP, Tanzania to Revive Blending Unit Plans

Moroccan phosphates group OCP Group SA is reported to be set to hold fresh talks with Tanzania’s government to establish a fertilizer blending plant in the East African country.

The proposed plant is planned to be located in Kisarawe, some 30 kilometers southwest of Tanzania’s capital, Dar es Salaam, according to a report by Morocco World News.

The report cited the Tanzanian news outlet The Citizen quoting the country’s Minister of Agriculture Anthony Mavunde saying the two countries are expected to start talks for “setting up a blending facility in Kisarawe.”

OCP previously has indicated plans to set up a fertilizer blending unit in Tanzania as part of its roll-out of new blending units in several Sub Saharan African countries (GM March 8, 2019), but has not directly confirmed this latest initiative.

News of the potential project comes amid the Tanzania government’s reassurances to tackle the country’s food security crisis.

The Citizen reported the government has provided the state-run Tanzania Fertiliser Co (TFC) with Sh6 billion in capital in a bid to revive the company and “ensure a sufficient supply of fertilizers at reasonably lower than market prices.”

TFC stopped participating in the sale of fertilizers some eight years ago, and this week the government launched the distribution of fertilizers at a subsidized price.

The fertilizer company reportedly will now be able to import 25,000 mt of fertilizers, to be distributed to various parts of the country.

According to the report, a total of 2,700 mt of urea initially will be distributed at a subsidized price, with the aim of targeting to distribute 8,100 mt between now and the end of April.

Tanzania can only produce 10% of its annual demand for fertilizers, which the report puts at 430,000 mt/y, citing official data.

TFI Opposes EPA Proposal to Tighten Air Quality Standards; Warns Fert Production Could Suffer

The Fertilizer Institute (TFI) on Jan. 27 issued a sharp rebuke to the US Environmental Protection Agency (EPA) for its proposed rule to tighten national ambient air quality standards (NAAQS) for fine particulate matter (PM2.5).

EPA on Jan. 6 announced a proposal to lower the primary health-based annual PM2.5 standard from a level of 12 micrograms per cubic meter down to 9-10 micrograms to “better protect communities, including those most overburdened by pollution.”

EPA completed its last review of the PM NAAQS in 2012, and the Trump Administration in December 2020 announced its decision to retain the 2012 standard. But EPA this month said “thousands of new studies” since 2012 have highlighted the dangers of soot exposure, and the 2012 standard “may not be adequate to protect public health and welfare.

“Fine particles, sometimes called soot, can penetrate deep into the lungs and can result in serious health effects that include asthma attacks, heart attacks, and premature death – disproportionately affecting vulnerable populations including children, older adults, those with heart or lung conditions, as well as communities of color and low-income communities,” EPA said.

“These particles may be emitted directly from a source, such as construction sites, unpaved roads, fields, smokestacks, or fires,” the agency said. “Other particles form in the atmosphere as a result of complex reactions of chemicals such as sulfur dioxide and nitrogen oxides, which are pollutants emitted from power plants, industrial facilities, and vehicles.”

EPA said strengthening the PM2.5 standard to 9 micrograms per cubic meter would prevent an estimated 4,200 premature deaths per year and 270,000 lost workdays per year, and would result in as much as $43 billion in net health benefits by 2032.

EPA is proposing to revise other aspects related to the PM standards as well, such as monitoring requirements and the Air Quality Index (AQI). While the agency said it currently plans to retain the primary 24-hour PM2.5 standard of 35 micrograms per cubic meter, it said it will take comments on revising this level to as low as 25 micrograms per cubic meter. 

“Our work to deliver clean, breathable air for everyone is a top priority at EPA, and this proposal will help ensure that all communities, especially the most vulnerable among us, are protected from exposure to harmful pollution,” said EPA Administrator Michael S. Regan. “This proposal to deliver stronger health protections against particulate matter is grounded in the best available science, advancing the Biden-Harris Administration’s commitment to scientific integrity and a rigorous scientific process.”

TFI President and CEO Corey Rosenbusch warned, however, that lowering PM2.5 standards beyond what is technically possible could have the unintended consequence of reducing domestic fertilizer production, while forcing manufacturing to other countries with significantly lower environmental protections and less efficient production methods. He urged EPA to retain the current PM NAAQS, which he said has dramatically reduced air pollution.

“At a time when the need to strengthen the domestic fertilizer industry has been made clear by multiple global crises and echoed by the Biden Administration, now is not the time to hamstring fertilizer production by making new production facilities or the expansion of existing production more difficult or, in some instances, impossible,” Rosenbusch said.

“PM2.5 emissions have declined nearly 40% over the past twenty years, and they continue to go down,” he continued. “Under the current standards we have both environmental protection and robust commerce. We are in the Goldilocks zone where those things are balanced. Why mess with that when EPA’s own data has shown uncertainties related to the health benefits of reducing levels below current standards?”

Rosenbusch said that as NAAQS levels have dropped and industry continues to adapt through technology and innovation, local air quality in many parts of the country has returned to “background levels” of particulate matter that are naturally occurring.

“Imagine responsibly operating a facility in an area that is well within PM2.5 guidelines, but you are geographically downwind from a wildfire two states over and now all of a sudden your area receives a ‘nonattainment designation’ from the EPA,” Rosenbusch said. “Now you can’t expand, you can’t grow, you can’t operate at your normal levels, and the EPA is telling you to install technology that doesn’t exist while they readily admit in their own analysis that even they haven’t been able to determine how states can attain lower PM2.5 standards.”

EPA will accept public comment for 60 days after the proposal is published in the Federal Register. EPA said it will also conduct a virtual public hearing over several days, with the schedule to be announced after the Federal Register notice.

Winston Weaver Lawsuits Await Judge

Five lawsuits against Winston Weaver Fertilizer Co. over the Jan. 31, 2022, fire that destroyed its fertilizer facility in Winston-Salem, N.C. (GM Feb. 4, 2022) are on hold awaiting the appointment of a judge, according to the Associated Press. The five lawsuits were filed soon after the Jan. 31 fire between Feb. 3-March 11, 2022.

While the plaintiffs and defendant agreed on Judge Edwin G. Wilson Jr. to hear the case and he was appointed by the Chief Justice of the N.C. Supreme Court to do so on Oct. 24, 2022, he lost his bid for re-election. Now, the parties await word on whether a new judge will be appointed or Judge Wilson will be named as a special judge to hear the case.

The fire destroyed the 65,423-square-foot facility and prompted a three-day evacuation order for some 6,500 nearby residents due to concerns about a possible explosion triggered by ammonium nitrate.

One of the lawsuits claims that the plaintiff was forced to leave her residence on the morning of Feb. 1, and was exposed to “toxic chemicals and incurred evacuation expenses, loss of use and enjoyment of her home, and lost wages (GM March 11, 2022).” It states that she and other neighboring residents and businesses “experienced significant inconveniences, such as loss of income, business disruption, and professional cleaning expenses associated with soot removal.”

The lawsuit pointed to previous fires at the fertilizer plant, as well as to Winston Weaver’s “alleged failure to properly store hazardous materials, correctly repair and maintain its facility, and submit legally-required forms regarding the amount and types of chemicals onsite, as evidence of its negligence and intentional disregard for safety.”

“People impacted by the terrifying Weaver Fertilizer Plant fire deserve justice,” said Gary Jackson, attorney for that plaintiff at the time of the filing. “No company can be allowed to displace an entire community.”

In general, the five complaints contain individual and class action claims for negligence, gross negligence, negligence per se, strict liability, public nuisance, private nuisance, trespass, medical monitoring, and punitive damages.