Kassel-Germany’s K+S Group said June 9 that it is considering the sale of its Compo unit, which is a supplier of branded goods for the home and garden market. The product range includes fertilizers, plant protection products, and potting soil, as well as specialty products for green, horticulture, special crops, and special agriculture applications. K+S says Compo is one of the best-known and most innovative brand and product portfolios, and is therefore in a very good position in a market that is currently very fragmented and characterized by high competition. K+S says it will concentrate on its potash and magnesium and salt businesses. K+S has tabbed Goldman Sachs to assist in the sale of Compo. It expects results within one year. In preparation, over the next few months K+S will develop a concept for a possible carve-out of Compo from the K+S Group. Compo has revenues of approximately ?é¼400 million (US$484.4 million) and employs about 1,100 people all over the world.
All posts by traceybg@gmail.com
BHP touts high grade potash assets in Sask.
Melbourne-BHP Billiton on June 7 confirmed the strength of its position in the Saskatchewan potash basin in Canada with the reporting of an in-situ mineral resource of 3,370 million mt @ 25.4 percent K2O at its wholly-owned Jansen Potash Project. It said the project is nearing the end of its pre-feasibility study and is anticipated to progress to feasibility in the second half of 2010. Based on the current schedule, the project is expected to produce saleable potash beginning in 2015. The Burr project, acquired with Athabasca Potash in early 2010, is currently under review in the context of BHP Billiton’s full potash development portfolio. Exploration in the Melville area, also acquired with Athabasca Potash, is due to begin in July 2010. In total, BHP says it has exploration rights to a total of over 14,000km2 of highly prospective ground in the Saskatchewan basin. “Potash is strategically important for BHP Billiton, offering the group an avenue for significant growth and further diversification by commodity, customer and geography,” said Graham Kerr, president of BHP Billiton’s Diamond and Specialty Products. “Jansen is the most advanced project in our potash development portfolio and is backed up by our other greenfield projects at Boulder and Young, and the rest of our land position. We believe Saskatchewan could be the next long-life, low-cost expandable basin play for BHP Billiton. Today’s announcement indicates a considerable high grade resource which will provide BHP Billiton a significant entry into the potash industry.” Jansen is being planned to reach an eventual full production capacity of approximately 8 million mt of saleable potash per year. The potash-bearing zone will be mined using the conventional long room and pillar method already used by BHP Billiton in several locations around the world. The company has selected the location of the surface facilities to support the mine and is preparing to commence ground freezing in late 2010. Ground freezing is necessary to safely and successfully sink the mining shafts because of the presence of local aquifers common to the region. BHP Billiton has allotted pre-commitment funding of US$240 million to support continued engineering study, regulatory permitting, and completion of the ground freezing process. In related news, the Canadian press reports that SaskWater has begun preliminary planning for a C$100 million plus water pipeline to service BHP’s new mine. BHP would reportedly pay the capital cost of the project and then turn it over to SaskWater, which would own and operate it on a fee-for-service basis.
AN purchase in Ontario triggers manhunt
Toronto-The May 26 purchase of 1,500 kilograms (3,307 pounds) of ammonium nitrate from a cooperative farm center in Lincoln, Ont., sparked a manhunt for the buyer, whom the Royal Canadian Mounted Police (RCMP) feared might be using the material to build a bomb. The incident ended calmly on June 9, however, when the individual contacted police after seeing news stories about the manhunt and sketches of himself in the local media. “The ammonium nitrate has been recovered from two addresses in Toronto,” said a news release from Toronto Police Inspector Gord Sneddon, who heads the RCMP’s Integrated National Security Enforcement Team (INSET). “There are no suspicious circumstances surrounding the purchase of the ammonium nitrate. It is expected that there will be no charges.” Police in southern Ontario had called in anti-terrorist units after being notified on May 31 of the sale. The fertilizer – 60 25-kilogram bags of ammonium nitrate – was purchased from Vineland Growers, located in the Niagara region about an hour south of Toronto. Employees at the co-op contacted police after discovering that the buyer had misrepresented himself as a worker for a local grower, according to news reports. INSET held a press conference on June 9 during which they released three composite sketches of the man, along with a description saying the buyer was in his late 50s or early 60s, was short and stocky, spoke with a European accent, walked with a limp, and had severed fingers on his right hand. Officials said a number of factors contributed to the urgency of the manhunt, including the size of the purchase and the fact that a G20 summit is planned for late June in the Toronto area. “Quite frankly it looks like this is going to turn out to be a gardening incident,” a police spokesman was quoted as saying. One report said the farm center could face repercussions for not taking the man’s identification information at the time of purchase. “The rules were definitely not followed, but that’s not the main focus now,” said RCMP Sergeant Marc LaPorte.
OSHA levies $214,500 ammonia violation fine
Concord, N.H.-The U.S. Occupational Safety and Health Administration (OSHA) is imposing $214,500 in fines against High Liner Foods Inc. for 17 violations of workplace health and safety requirements at the company’s Portsmouth, N.H., seafood processing plant. OSHA says the citations are mainly for failure to address deficiencies in the seafood plant’s refrigeration piping system. The system was found in inspections to be corroded and encased in ice in many locations, with previously identified deficiencies still uncorrected. “Failing to inspect and test the ammonia piping system and take corrective action exposes workers to the possibility of an ammonia leak or similar severe or catastrophic incident,” declared Rosemarie Obar, OSHA New Hampshire director. “For the health and safety of their workers, employers must proactively assess and address hazards associated with processes and equipment that use large amounts of ammonia or other hazardous chemicals.” OSHA also determined that the plant failed to label and identify piping systems, remove frost and ice accumulations from piping, properly locate relief valves, ensure that the main ammonia shutoff valve was accessible, ensure that an exit door opened to the outside, conduct compliance audits, inspect and test the mechanical integrity of process equipment, provide workers with hand protection, and make process safety information available. These conditions resulted in nine serious citations, with $44,500 in fines. OSHA issues serious citations when death or serious physical harm is likely to result from hazards about which the employer knew or should have known. The company has 15 business days from receipt of its citations and proposed penalties to comply, meet with OSHA’s area director, or contest the findings before the independent Occupational Safety and Health Review Commission.
Indiana still assessing ammonia damage
Stockwell, Ind.-Investigators for the Indiana Department of Natural Resources (IDNR) are still trying to determine the number of fish kills and other damage in the south fork of Wildcat Creek from the release of several hundred gallons of anhydrous ammonia late Friday, May 28, after a truck pulling two trailers with ammonia tanks slipped off the side of a county road. “The investigation is still continuing to assess damages,” IDNR spokesman Martin Benson told Green Markets. “It appears that about a quarter mile of the stream was affected.” The incident also brought responses from the Indiana Department of Environmental Management (IDEM), the Tippecanoe County sheriff, and the Sheffield Township emergency response team, which had a family evacuated from one nearby residence. The local press reported that a car drove through the chemical cloud, and one passenger was treated and released at a local hospital. IDEM Spokeswoman Amy Hartsock said the two tanks rolled into a ditch and the valve on one of the tanks was damaged during recovery efforts. She said some of the chemical got into a nearby tributary of the south fork of Wildcat Creek. Hartsock said the cleanup, which involved diking part of the stream and pumping the water onto nearby land, continued over the Memorial Day weekend. There was also some contaminated soil that had to be removed, Hartsock added. Estimates were that about 1,000 gallons escaped, but that number was not confirmed. The driver was towing two tanks from Crop Production Services, which sent out workers to help upright the tanks and dam up the stream to prevent the spread of ammonia into Wildcat Creek. The Tippecanoe County sheriff said there were no citations resulting from the accident, which occurred at approximately 11 p.m.
Groups weigh in on DHS Personnel Surety program
Washington-The Fertilizer Institute (TFI), the Agricultural Retailers Association (ARA), and CropLife America submitted comments in May to the Department of Homeland Security (DHS) regarding a new security program that DHS has introduced as part of the Chemical Facility Anti-Terrorism Standards (CFATS). According to TFI, DHS’s Personnel Surety Program would apply to chemical facilities that are regulated under CFATS, including fertilizer manufacturers and agricultural retailers, and would require additional security information on chemical facility staff. TFI said the program could have far-reaching consequences for the agricultural community, and could even affect growers. In addition to concerns about implementation costs and DHS oversight of the program, TFI said the comments submitted by the three organizations suggest that the program “is redundant in its call for additional information on chemical facility staff that in most cases already hold federally issued credentials.” The organizations also raised concerns about how DHS would handle requirements for full-time and part-time employees who work for agricultural retailers during busy periods during the spring planting and fall harvest, and for growers who pick up products at their local retailers instead of having them delivered.
2010 sales spurt for Converted Organics
Boston, Mass.-Converted Organics Inc., which uses a proprietary thermal process to produce organic fertilizer from food wastes, has reported that sales from Jan.1 to May 31, 2010, were $1.85 million, or 90 percent higher than the same period in 2009. Company officials said the year-over-year sales growth is largely attributable to a continued increase in customer demand for organic fertilizer programs. “The growth in our fertilizer business is a direct result of increased recognition of our products as a safe, natural, effective way to improve crop yields while lowering costs,” said Marketing Vice President David Flannery. “During the past several months, we have seen a significant increase in interest across each of our primary target markets – major growers, specialty agricultural retailers, professional lawn care providers. and consumers.”
Winter wheat forecast up from May, says USDA
Washington-In its latest Crop Production report released on June 10, the USDA National Agricultural Statistics Service said winter wheat production in the U.S. is forecast at 1.48 billion bushels, up 2 percent from the May 1 forecast, but 3 percent below 2009. The harvest total is the smallest amount since 2006, USDA said. Based on June 1 conditions, the U.S. average yield is forecast at 46.6 bushels/acre, up 0.7 bushel from last month and 2.4 bushels more than last year. Expected area for harvest as grain or seed totals 31.8 million acres, unchanged from May 1. Hard red wheat production is up 2 percent from a month ago, to 979 million bushels, according to USDA. Soft red wheat production is up slightly from last month and now totals 284 million bushels. White production totals 219 million bushels, up 2 percent from last month. Of the white production total, USDA said 17.3 million bushels are hard white and 202 million bushels are soft white. USDA’s World Supply and Demand report, also issued June 10, lowered the surplus corn stocks on hand from roughly 1.7 billion bushels to 1.57 billion bushels. USDA said corn prices may rise as high as $3.90/bushel this year, which is up about 10 cents/bushel from previous forecasts. The report also said ethanol use is expected to be about 150 million bushels higher than previous reports. As for soybeans, the report said the U.S. soybean crush is expected to be down 5 percent, and U.S. exports are projected to be down due to export competition from India and South America. On a positive note, USDA said more soybeans will be used for biodiesel, provided Congress renews the $1 per gallon biodiesel tax credit.
EPA gathers info on CAFOs, considers tougher regs
Washington-The U.S. Environmental Protection Agency (EPA) in early June agreed to gather information about Concentrated Animal Feeding Operations (CAFOs) to determine whether more should be regulated as part of a settlement with environmental groups concerned about water pollution, according to the Agricultural Retailers Association (ARA). The Natural Resources Defense Council, Sierra Club, and Waterkeeper Alliance filed a case with the U.S. Court of Appeals for the Fifth Circuit claiming EPA gave too much discretion to farm operators in determining which farms needed permits to discharge waste into waterways. In the settlement, EPA agreed to release a guidance document that would clarify which CAFOs would need to apply for National Pollutant Discharge Elimination System (NPDES) permits under its 2008 final rule. EPA will propose a new rule that would require all CAFO owners or operators to submit to the agency specific data about the number and types of animals that are being raised, the quantity of manure generated, the type and capacity of manure storage, and the method used to dispose of the manure. This information would be collected every five years and would be made publicly available. EPA said it would take final action on the proposed rule within two years, and will also seek public comments as part of that process. According to ARA, EPA defines CAFOs as farms with any of the following: 700 dairy cows; 1,000 veal calves; 1,000 cattle; 2,500 swine weighing more than 55 pounds or 10,000 swine weighing less than 55 pounds; 10,000 sheep or lambs; 55,000 turkeys; and between 30,000 and 125,000 chickens, depending on the manure handling system used. A Government Accountability Office (GAO) report estimates that a single dairy farm that meets EPA’s minimum large CAFO threshold of 700 dairy cows produces around 17,800 tons of manure a year, compared to the 16,000 tons of sanitary waste that it takes a city of 24,000 residents to annually generate.
Itronics sales up
Reno-Itronics Inc. reported June 3 that its GOLD’n GRO fertilizer sales for April and May 2010 were up 20 percent over the same months in 2009, and that May sales were up 65 percent over May 2009. Sales for the first five months of 2010 were up 1 percent, which Dr. John Whitney, president, reported to be the company’s best performance for this time period despite very wet weather the first three months. “Fertilizer orders are expected to continue to be strong through June,” Whitney reported. “The spring season appears to be six to eight weeks behind schedule, so sales could continue well into July.” Itronics converts spent photoliquids into pure silver and GOLD’n GRO liquid fertilizers.