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SQM, Coromandel forge joint venture

Santiago-Sociedad Quimica y Minera de Chile S.A. (SQM) said May 28 that it has entered into an agreement with Coromandel Fertilizers Ltd. to create a joint venture for the production and distribution of water soluble fertilizers in India. The agreement, signed May 26 by SQM’s subsidiary Soquimich European Holdings, establishes a 50-50 contribution to the jv. The first step will be the construction of a new 15,000 mt facility in the city of Kakinada to produce water soluble NPK grades. The facility will require a total investment of approximately US$2 million, and should be operational by March 2010.

Yara will permanently close NPK plant in Hungary

Oslo-Yara International ASA said May 27 that it will permanently close its NPK plant in Peremarton, Hungary. Production at the plant, which has an annual production capacity of 150,000 mt NPK, has been temporarily stopped since early October 2008. The plant became part of Yara with the acquisition of Kemira GrowHow in 2007, producing NPK fertilizer based on purchased nutrients. Yara said the plant lacks access to competitively-priced raw materials and would need significant investments to bring it up to Yara efficiency and quality standards. The plant, which has 110 employees, is not flexible enough to accommodate the new market requirements regarding nitrogen, phosphate, and potash combinations. Yara said it will continue to fulfill customer contracts from built-up stock and alternative product sourcing.

CF fire/explosion did not harm fert facilities

Terre Haute-There was a fire and explosion at an electrical substation at CF Industries Holdings Inc.’s Terre Haute, Ind., facility on Friday, May 22. Ammonia and UAN tanks were too far away to be damaged. CF reported no injuries, product release, or danger to the community. Some cooling oil in equipment was released to the ground when equipment failed, but according to CF it will be removed and disposed of in compliance with regulations. CF said the facility will run normally using generators until repairs can be completed and that the terminal was back up again early Sunday, May 24, with limited loss of business.

Agrium CPS moving to Loveland

Greeley, Colo.-Agrium Inc. has confirmed that most of a few hundred employees of the company’s Crop Production Services will be moving a short way from their present Greeley offices to a new office building in Loveland, which is expected to be completed by next summer. “Many of the employees now working in Greeley would move to a new office building in Loveland, which is located a short distance to the west,” Agrium spokesman Paul Poister told Green Markets. “Many of the workers are in different buildings now, so this will be an improved arrangement for them.” Poister didn’t have any more details, but press reports indicated that Loveland city officials, to the chagrin of Greeley officials, recently approved $300,000 in cash incentives to move the Greeley company to the Centerra complex near the intersection of U.S. 34 and Interstate 25. As many as 250 employees are believed to be involved in the move. The Loveland City Council approved the incentives and then gave its stamp of approval for another $2,000 for every job created by Agrium Advanced Technology when it moves employees to Centerra from Canada. Agrium, based in Calgary, Alberta, purchased the former United Agri Products of Greeley a year ago. The Advanced Tech group is supposed to shift 21 jobs from Canada into an existing building. Reportedly, in January the city of Greeley and Upstate Colorado Economic Development offered Agrium about $600,000 in incentives to keep the company in Greeley.

Agrium pumps $5.7 M into Sylacauga expansion

Calgary-While Agrium Inc. plans to build a new ESN plant in St. Louis, Mo. (GM May 25), its Agrium Ag Tech unit is also pumping $5.7 million into a capital project at the company’s existing Sylacauga, Ala., facility. There are two aspects to the expansion: a 20,000 st expansion in ESN capacity, and the expansion of the company’s research and development center. Most of the capital will be spent on the ESN plant. The company plans to build a pilot facility to aid in the further advancement of future products. The plan anticipates 13 additional employees, including researchers, chemists, technicians, support staff, and plant workers. The facility already employs 100. Agrium plans to consolidate the bulk of its research in Sylacauga. U.S. Agrium Ag Tech offices are in Sylacauga, though the unit is headquartered in Brantford, Ont. In pursuing the Sylacauga expansion, Agrium sought and received a ten-year property tax abatement.

ARA sends letter to DOT over HOS exemption

Washington-The Agricultural Retailers Association on May 22 sent a letter to Department of Transportation Secretary Ray LaHood urging his continued support for the agriculture hours-of-service (HOS) exemption. Some organizations, including the Commercial Vehicle Safety Alliance (CVSA), have lobbied for the removal of the HOS exemption from a new surface transportation reauthorization bill (GM May 4, p. 15) on the grounds that it results in higher crash rates. “Today, more than ever, agriculture relies on an efficient transportation network to meet the demands of the market and consumers,” ARA’s Richard Gupton wrote in the letter to LaHood. “Crop yields are highly sensitive to the timing of planting and harvest activities, which must be accomplished around unpredictable weather. The HOS exemption for agriculture is critical to rural communities for transporting large quantities of farm inputs and products in a short amount of time. Without this agricultural exemption, retailers and farmers are likely to experience an adverse economic impact on their business operations and this could harm the nation’s production of agricultural cornmodities.” Gupton noted that the HOS exemption “operates only during peak planting and harvesting seasons as defined by each state and within a 100 air-mile radius from the source of the commodities or distribution point for the farm supplies.” ARA sent a similar letter to USDA Secretary Tom Vilsack on May 28. Earlier this month, ARA joined The Fertilizer Institute, CropLife America, CHS Inc., and more than 45 trade associations in sending a May 14 letter to the House Transportation and Infrastructure Committee urging its support for the HOS exemption (GM May 18, p. 11).

Agrium’s CPS to market EarthRenew organics

Half Moon Bay, Calif.-California-based EarthRenew Inc. and Agrium Inc.’s Crop Production Services (CPS) have entered into agreements for the licensing of EarthRenew brands and the marketing and sale of EarthRenew Organic Matter Fertilizer?äó products exclusively by CPS in the Western United States. The agreement provides for the sale of products from EarthRenew’s current operating facility in Strathmore, Alberta, and the next seven facilities to be constructed in the Western U.S., for a total of eight. CPS will sell EarthRenew’s proprietary fertilizers in the organic, conventional, and turf and ornamental markets. EarthRenew says its products increase fertilizer efficiencies of either organic or synthetic nutrients for improved crop yields and productivity. The financial terms were not disclosed. “In my 30 years in the industry, I haven’t seen products like EarthRenew’s, which can improve soils and enhance crop performance, including both conventional and organic,” said CPS General Manager Bob Duckworth. Privately-held EarthRenew Chief Executive Christianne Carin said the company, founded in 1999, chose CPS because of its retail strength and in-the-field services focus.

Cleanup could put EPA in fertilizer business

Denver-A U.S. Environmental Protection Agency Region 8 emergency response team is supposed to decide in the next week or so what to do with 170,000 to 200,000 pounds of AMFO mixtures as part of the cleanup of a Utah site that could put the agency briefly in the fertilizer business. Lead coordinator Paul Peronard is working with the Utah School and Institutional Trust Lands to get the 480-acre Cook Slurry Co. property near Utah Lake in shape for resale to resolve a lease dispute with the explosives business owner – former Utah Congressman Merrill Cook, son of Melvin Cook, who invented AMFO explosives. “We want to have the land marketable – something that a buyer wants to buy,” Tom Mitchell, one of the state agency’s legal advisers, remarked recently. Peronard told Green Markets, “It’s EPA’s intention to reuse all this stuff one way or another.” He indicated that the first choice probably is to work with other explosives manufacturers in this area and have them take and reuse it. “But Plan B is to separate out the ammonium nitrate and use it as fertilizer,” he suggested. “We’re trying to determine which makes more economic sense to us. We don’t have to make money on this, just to defer costs of the disposal process.” He said what’s at the site, located not far from a cluster of subdivisions, has been there at least 10 years and represents very little pure ammonium nitrate. “There’s a total of eight tanks on the property, but the bulk of the material is in two large tanks of a liquid/solid and something in between. One of them has four pretty definite layers of liquid oil, a jelly-like material and a layer of ammonium nitrate salts. The other tank is mostly in two layers … one of oil and the other slurry.” Right now, Peronard reported, discussions will be held with local explosives companies “to see if that’s going to work or not.”

TruGreen eyes strategic opportunities

Memphis-TruGreen, the lawn care unit of ServiceMaster, recently announced it is exploring opportunities to expand its lawn, tree, and shrub care business in North America by acquiring companies that have built a strong customer base in their markets and share TruGreen’s commitment to excellent customer service and reliability. Through selective acquisitions in key geographic regions, TruGreen expects to reach more customers and enhance its service footprint in North America. “Strategic acquisitions have always been a fundamental component of TruGreen’s growth strategy,” said Steve Donly, TruGreen’s president and chief operating officer. “We believe we can bring owners a compelling business case for growth and create a winning combination for customers looking for outstanding service from a brand they can trust. We understand that it’s often a tough decision when owners decide to sell their businesses,” Donly continued. “We recognize the importance of trust during ownership transitions and we work very closely with owners to ensure that both employee and customer relationships are carefully managed. In many cases, we can offer employment opportunities, specialized training and career growth for owners and their staff who are interested in staying on as members of our TruGreen team.” TruGreen is the nation’s largest lawn and landscape company, serving more than 2.5 million residential and commercial customers across the U.S. with lawn care, tree and shrub care, and landscaping services. There are 268 TruGreen LawnCare branches in the U.S. and Canada, including 52 franchise locations.

Sulfuric acid fumes garner OSHA, state penalties

Petrolia, Pa.-The U.S. Department of Labor’s Occupational Safety and Health Administration (OSHA) has cited Indspec Chemical Corp. for alleged safety and health violations and proposed $121,500 in penalties. This occurs as the aftermath of an OSHA investigation last fall into a release of sulfuric acid fumes at the company’s facility that resulted in the evacuation of residents living within a three-mile radius. In addition, the Pennsylvania Department of Environmental Protection assessed the company a separate penalty of $34,187. OSHA said the 27 serious violations address hazards associated with process safety management; hazardous waste operations and emergency response, including the company’s failure to identify all of the causal factors of the incident during the investigation; failure to secure employee input on process safety management operating procedures; failure to provide employees with proper respiratory protection; inadequate process hazard analyses; inaccurate and ambiguous operating procedures; inadequate training; and a deficient emergency response plan. The Petrolia company, which manufactures industrial organic chemicals and employs about 260 workers, has 15 business days from receipt of the citations to comply, request an informal conference with the OSHA area director in Pittsburgh, or contest the citations and proposed penalties before the independent Occupational Safety and Health Review Commission.