Jefferson City, Mo.-Four barges carrying 6,000 tons of phosphate made their way up the Missouri River last week from Louisiana as a sign that better times are ahead for cargo shipping in these parts. Kevin Holcer, wholesale fertilizer manager for AGRIServices of Brunswick, said the barges were due late on March 18 after being slowed because of a lot of drift on the river. No matter, since it still means higher waters have returned and a newly energized shipping year is underway after eight years of drought and low water that almost wiped out cargo traffic. AGRIServices is in its fifth year of running tows on the Missouri River, and got into the barge business after other providers moved off the river due to low water levels (GM June 6, 2005). The state, along with agriculture and other shipping partners, is initiating a market and commodity analysis to find ways to get more traffic on the river. The study will look into traditional river products, examine the potential for containerized shipping, and discover ways to get more consistent operations even when water levels are low. Dr. Ernie Perry, freight development administrator at Missouri Dept. of Transportation, said “Our goal is to increase the freight moved across these docks and onto the Missouri River, increase the connections to other transportation modes, and provide economic development opportunities along the river corridor.”

Washington-The U.S. Chemical Safety and Hazard Investigation Board (CSB) notified The Fertilizer Institute (TFI) this week that it has officially closed its investigation of a November 2008 large liquid fertilizer tank failure that occurred in Chesapeake, Va. (GM Nov. 17, 2008, and June 1, 2009). In a letter to TFI President Ford West, CSB Chairman and CEO John Bresland recognized TFI’s efforts to urge its member companies to follow recommended practices for tank welding and inspections and to incorporate these practices into third party contracts governing the storage of large quantities of liquid fertilizers. The CSB also praised TFI’s effort to reconvene its Urea Ammonium Nitrate (UAN) Tank Working Group to review existing tank inspection guidelines. In June 2009, TFI launched renewed efforts to promote its Aboveground Storage Tanks of Liquid Fertilizer – Recommended Inspection Guidelines and raise awareness of its commitment to product stewardship initiatives that enhance the safe handling and storage of fertilizers. The effort culminated with the December 2009 release of an updated version of the guidelines titled Aboveground Storage Tanks Containing Liquid Fertilizer – Recommended Mechanical Integrity Practices. “We are pleased that the CSB has recognized the value of our guidelines by recommending that we continue to promote them as an industry best practice among our members,” said West. “We extend our thanks to the industry professionals who dedicated their time and expertise to this effort.” TFI’s updated guidelines provide a suggested uniform program to evaluate the condition of large, aboveground storage tanks of liquid fertilizer. The guidelines suggest that storage tanks meet two standards developed by the American Petroleum Institute (API) to ensure adequate safety measures in the construction, inspection, repair, and alteration of large storage tanks. “The CSB recognizes that there can be significant time and energy involved with implementing the recommendation, and we value working with TFI to improve the health and safety of workers and the public,” noted Bresland.

Saskatoon-Athabasca Potash Inc. said March 18 that the holders of API common shares and options voted 99.84 percent in favor of BHP Billiton’s acquisition of API (GM Feb. 1, p. 1). BHP Billiton Canada Inc. will acquire all of the issued and outstanding common shares of API for C$8.35 cash per common share, or C$341 million. The transaction is expected to close March 23, 2010, and shortly thereafter API’s common shares will be de-listed from the Toronto Stock Exchange.

Cairo-Orascom Construction Industries (OCI) reported net income was up 39.8 percent for the fourth quarter ending Dec. 31, 2009, to US$105.8 million on revenues from continuing operations of $966.6 million, versus the year-ago $75.7 million and $1.02 billion, respectively. For the year, however, net income was off 55.9 percent, to $434.2 million on revenues of $3.82 billion, versus 2008’s $985 million and $3.72 billion. During 2009, OCI’s fertilizer group sold 1.358 million mt of urea at an average price of $266/mt, and 384,000 mt of ammonia at an average price of $251/mt. During the fourth quarter, urea prices rose 13.4 percent to $283/mt, while ammonia was up 26 percent, to $274/mt. OCI said it was optimistic that market conditions for the two products will continue to improve in 2010. The group has announced $200 million of new capital expenditure, including an upgrade of annual urea production capacity at Egyptian Fertilizers Co. to 1.6 million mt and the construction of a new ammonium sulfate line with an annual production capacity of 325,000 mt. These should contribute to results in 2012. Construction of new urea and ammonia capacity at Sorfert Algeria continues to progress well, with the plant 85.3 percent complete at year end (GM April 21, 2008). Commissioning of the new plant is expected to begin later this year, with full production in early 2011.

San Francisco-Wilbur-Ellis Co. says that it has purchased the assets and related entities of Kroeplin Ag Service Inc., a retailer and aerial applicator of plant protection products headquartered in Highmore, S.D. The transaction, which includes locations in Miller and Blunt, was effective March 4, 2010. Michael Thomas, Wilbur-Ellis vice president and Northern Plains business unit manager, identified Kroeplin Ag’s proximity to existing operations as an important consideration in pursuing the acquisition. “The geography now served by Doug Kroeplin provides us with a natural extension of the market that we now serve to the West of Huron. We feel that bringing his business together with ours will create an even stronger organization.” He said Kroeplin will become part of the Northern Plains business unit, reporting to Troy Johnson, Midwest area business manager. Kroeplin will work closely with Greg Krech, aerial operations manager, S.D., and Michael Karasiewicz, director of business development, as the company continues the development of its retail market in the Plains states.

Pasadena, Calif.-Jacobs Engineering Group Inc. and Morocco’s OCP S.A said March 16 that they entered into a joint venture agreement. The new company, called Jacobs Engineering SA (JESA), will provide OCP with world-class tools to support its industrial strategy. JESA represents a powerful combination of engineering, project management, and construction management resources deployed to support OCP in implementing its strategic expansion plans, including its US$5 billion investment program in Morocco. At the same time, JESA will provide its services to other industrial projects, both in Morocco and at the international level, all of which will serve to advance Jacobs’ growth plans in the fertilizer industry and in the region. Equally owned by OCP S.A and Jacobs Engineering Group Inc., among other things JESA will contribute to the implementation of the necessary infrastructure elements for the development of the Jorf Lasfar Phosphate Hub (JPH). The new company will implement Jacobs’ engineering systems and tools with staff from both OCP and Jacobs, as well as with local hires.

Milwaukee-Agriculture interests don’t like the “one size fits all” approach of more strict fertilizer and manure runoff limits being proposed by the Wisconsin Natural Resources Board. The board wants to create new performance standards, to keep these nutrients out of waterways during snow melt and rains, with setbacks and implementation of a new phosphorus index. “There are a couple of things agriculture isn’t very happy about,” Wisconsin Agribusiness Council President and CEO Ferron Havens told Green Markets. He said one is the automatic setback rule, which would prohibit cultivation within 20 feet of rivers, lakes, ponds, or other surface water. “We’re not opposed to setbacks or to conservation measures,” Havens asserted. “But we’re opposed to a blanket policy that treats every area the same. That could potentially take a lot of land out of production if you’re along a stream area. We don’t like the fact that one size fits all. Some areas may need this and other areas would need less or more.” Havens also raised concerns about implementing a Phosphorus Index (PI) of 6, which is “another problem where you can’t use a blanket approach for agriculture land.” He cited studies that show a PI of 6 could be difficult to reach and maintain in many areas. Havens said the board is ignoring the findings at the Wisconsin discovery farm established by universities and the agriculture industry to carry out research concerning manure spreading, fertilizer application, and other aspects that deal with fertilization. The index is a modeling tool for assessing phosphorus leading to waters from fertilizer and other sources.

Sugar Land, Texas-CVR Energy Inc. said March 18 that its wholly-owned subsidiaries, Coffeyville Resources LLC and Coffeyville Finance Inc., have commenced an offering of $250 million aggregate principal amount of first lien senior secured notes due 2015 and $250 million aggregate principal amount of second lien senior secured notes due 2017. The notes will be guaranteed by each of the company’s subsidiaries that guarantee the first priority credit facility, and will be secured by liens on substantially all of the assets that secure the company’s first priority credit facility. CVR Energy intends to use the net proceeds to repay term loan indebtedness outstanding under the first priority credit facility and for general corporate purposes.

Kilgore, Texas-Martin Midstream Partners L.P. said March 16 that it and its wholly-owned subsidiary, Martin Midstream Finance Corp., intend to sell $200 million in aggregate principal amount of senior unsecured notes due 2018 in a private placement to eligible purchasers. The transaction is subject to market conditions. MMLP intends to use the net proceeds of this offering to repay existing long-term indebtedness.