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Pequiven pegs Stamicarbon for new urea plants

Geleen, The Netherlands-Stamicarbon reports that Petroquimica de Venezuela SA (Pequiven), a unit of PDVSA, Venezuela’s oil company, has awarded it two contracts to provide a license and process design package to build two new urea plants in Jose and Puerto Nutrias, Venezuela. One plant will have two lines of 2,200 mt/d urea capacity each (Jose), while the other will have one line of 2,200 mt/d (Puerto Nutrias). The plants will feature some of Stamicarbon’s trademark elements such as Urea2000plusTM Pool Reactor and Safurex® stainless steel. The plants will also use Stamicarbon’s fluid bed granulation technology, which Stamicarbon notes for its very low formaldehyde consumption and unbeaten on-stream time, both delivering substantial cost advantages. The urea plants are expected to start production in 2011 (Jose) and 2012 (Puerto Nutrias). The urea plants are Stamicarbon’s first in Venezuela.

H.J. Baker expands into Guadalajara, Mexico

Westport, Conn.-H.J. Baker & Bro. Inc. said April 8 that its newly-established Mexican subsidiary, H. J. Baker & Bro. de Mexico S de R.L. de C.V., has opened an office in Guadalajara to meet increased demand for H.J. Baker feed ingredients, fertilizer, and sulfur products, and Tiger-Sul Products sulfur-based fertilizers in Mexico, Central America, and South America. “Although, H.J. Baker products are well known in Mexico, increased demand for our products necessitated the creation of a local presence including a strategically located office there,” said Christopher V. B. Smith, H.J. Baker president and CEO. “This way we are ensuring that H. J. Baker customers throughout this important international region receive the support and service they have come to expect.” Smith said the Guadalajara office will provide sales and service to agriculture, phosphate fertilizer producers and dairy, cattle and poultry feed markets in Mexico. H.J. Baker’s proprietary products include H.J. Baker’s Pro Plus® animal protein concentrate, Pro-Pak® protein concentrate, and Pro-Lak® dairy by-pass protein. H.J. Baker & Bro. de Mexico S de R.L. de C.V. also expects to be involved in supplying sulfur to the leading producers of phosphate fertilizers in Mexico, as well as Tiger-Sul proprietary fertilizer products such as Tiger 90CR® sulfur and Tiger Micronutrients® fertilizers. For more information, see www.bakerbro.com.

Compass acquires Cutler-Magner Salt operations

Overland Park, Kan.-Compass Minerals said April 6 that it has acquired the salt business of Cutler-Magner Co., Duluth, Minn. The terms of the $3.6 million deal include the purchase of the salt processing and packaging assets and the customer list of Cutler-Magner, as well as the lease of its operating site, which includes an efficient highway deicing depot. Cutler-Magner’s total sales for 2008 were approximately $15 million. Cutler-Magner’s 100-year-old salt division packages and sells consumer and professional deicing, water care, and agricultural salt products to customers in Minnesota, the Dakotas, Iowa, Illinois, Wisconsin, and the Upper Peninsula of Michigan. Salt products will continue to be marketed under the Cutler-Magner name as well as the many brands produced by Compass Minerals’ U.S. subsidiary, North American Salt Co. “This highly synergistic acquisition reflects our persistent and disciplined focus on building sustainable, profitable, long-term value for our shareholders,” said Angelo Brisimitzakis, Compass Minerals’ president and CEO. “Cutler-Magner is a strong regional provider of branded salt products. With this increased processing and packaging capacity, we will enhance the product offering and service capability of our consumer and industrial business in the upper Midwest. The acquisition also strengthens our highway deicing presence in our key northern Great Lakes sales region. In addition, the site can utilize salt from Compass Minerals’ mine in Goderich, Ont., leveraging our ongoing multi-phased expansion of the world’s largest rock salt mine.” The acquired assets also include a capability for producing treated highway deicing salt, thus making Compass Minerals’ ThawroxTM high-performance specialty deicing products more readily available in the region.

Agriliance in loss column

St. Paul-Agriliance LLC had a net loss of $24.7 million on sales of $103.2 million for the second quarter ending Feb. 28, 2009, versus a year-ago loss of $23.7 million and $187.7 million, according to co-owner CHS Inc. Agriliance had a six-month net loss of $36.4 million on sales of $199.5 million, versus the year-ago $47.2 million and $398.2 million.

KBR to do FEED for Egyptian AN plant

Houston-KBR reports that it has been awarded a contract by Egypt Hydrocarbon Corp. to complete a front-end engineering design (FEED) project for an ammonium nitrate plant being developed by Carbon Holdings at its proposed petrochemical complex. The complex will be located 15.5 miles from Suez, Egypt, near the Red Sea. KBR will perform engineering services for both the process units, as well as the utilities and offsite for the plant. Currently, a single-train process plant is planned for installation, with a nominal capacity of 1,060 mt/d of AN. The process design of the nitric acid and AN units will apply the proven technologies of Espindesa, a unit of Tecnicas Reunidas of Spain. KBR said the FEED project follows its completion of various prefeasibility and pre-FEED studies for the petrochemical complex’s proposed plants, including AN and other chemical and petrochemical facilities. KBR has also completed a master plot plan study and a study of off-plot options for the complex.

Viterra partners to grow more winter wheat

Regina-Viterra Inc. has announced a partnership with Ducks Unlimited Canada and Bayer CropScience in their Winter Cereals: Sustainability in Action initiative. The project aims to establish 100,000 new acres of the crop across Western Canada in 2009. As the premier delivery partner, Viterra will play a pivotal role in providing product and program incentives to help producers realize the benefits of growing winter wheat as part of a sustainable cropping plan. Viterra’s participation marks its latest contribution to the development of winter wheat as a cropping option. The company began working with Ducks Unlimited Canada in 2005 and works closely with producers, assisting them with agronomic advice and offering improved winter wheat varieties, crop protection products, crop nutrients, and flexible marketing options. “Over the last three years, we have seen a significant increase of approximately 350,000 acres of winter wheat across the Prairies, illustrating the success of our partnership,” said Mayo Schmidt, Viterra president and CEO. “To date we have donated over $1 million dollars in-kind for this important conservation program, supporting the sustainability of agriculture and making a lasting contribution to the environment.” Winter wheat protects wildlife habitats by encouraging the development of nesting for waterfowl. Research conducted by Ducks Unlimited has shown that waterfowl that nest in winter wheat are 24 times more productive than those nesting in spring seeded cereals. Winter wheat also provides several benefits for producers, including the potential for higher yields, a more manageable harvest workload, and flexible marketing opportunities.

Agway adds new dealer location

Westfield, Mass.-Agway, a division of Southern States Cooperative, Richmond, Va., has added Zaino’s Nursery, Westbury, N.Y., as its latest dealer location. Zaino’s is a family-owned-and-operated business and will carry a full line of Agway products, including Agway Greenlawn fertilizers and other Agway branded products.

Farmland site attracts investor interest

Lawrence, Kan.-The Farmland Industries Inc. nitrogen plant site idle since the company went bankrupt in 2003 has a possible buyer who claims to be seriously interested and has put up nearly $1 million to prove it, according to the Kansas Department of Health and Environment. Capitana Redevelopment Group, an Overland Park-based group led by an insurance attorney, has purchased from creditors a legal interest in the approximately $10 million trust fund set aside to clean up the environmentally blighted, 467-acre tract on the east edge of Lawrence. Rick Bean, chief of the KDHE remedial section, told Green Markets he couldn’t comment on Capitana’s role in the property, but that the investors have acquired the residual beneficiary’s interest in the fund. Presumably they would collect what’s left over after the cleanup is completed. But the state has first say about who acquires the property because of what Bean describes as serious environmental problems from years of fertilizer operations, which have left nitrogen and ammonia contamination in the soil and the groundwater. “What we’re doing as the trustee is getting the site cleaned up, and the residual beneficiary doesn’t have a say in this. As the primary beneficiary we set the ground rules for selling the property.” He said he wasn’t sure about how much Capitana has put up, but thought it was a little over $900,000. Actually Capitana isn’t the only interested party since the city submitted a bid for the property in January, and KDHE is said to be in favor of such an arrangement because of the priorities the state is putting on the cleanup. Capitana has said it will work closely with the city, which is interested in converting the property into a business park, and the interests of the two could clash. “We’re absolutely interested in the property,” Aaron Bowers, who is leading the investment group, told the local press. “Capitana’s goal is to return this property to productive use.”

TFI gives testimony, presentation on climate change

Washington-TFI Vice President of Scientific Programs Bill Herz testified April 6 at an Environmental Protection Agency (EPA) public hearing regarding EPA’s mandatory greenhouse gas emissions reporting proposed rule. Herz outlined the process in which greenhouse gases are generated in nitrogen fertilizer manufacturing, and explained that the process is chemically fixed by nature and cannot be altered. Herz pointed out that acceptable options for utilization of carbon dioxide (CO2) are critical for successful reductions. Herz also urged EPA not to follow the agency’s greenhouse gas inventory paradigm of attributing urea emissions to the industry. In addition, Herz noted that EPA should not collect data on nitrogen percentage as it does not represent a suitable surrogate for estimating greenhouse gas emissions as emissions profiles are highly dependent on how the product is used. As an example of how appropriate agricultural best management practices may reduce greenhouse gas emissions, Herz suggested implementation of the 4R nutrient stewardship system, which promotes the use of the right fertilizer product, at the right rate, right time, and right place. Finally, Herz urged EPA to consider small businesses such as agricultural retailers, and to assist them by providing a blueprint that helps them understand whether they will have to report under the rule. TFI’s Herz also delivered a presentation regarding the potential impact of climate change policy on the fertilizer industry at an agriculture industry meeting hosted last week by the National Council of Farmer Cooperatives. Herz’s presentation provided an overview of how the fertilizer industry fits into the climate change policy debate, the potential cost of allowances under cap and trade policy, EPA’s mandatory reporting rule, and the activities and initiatives being undertaken by TFI regarding the issue.

Ag retail murder unsolved, another awaits trial

Seagraves, Texas, and Hartsville, S.C.-It has been over a year since an Agriliance LLC employee was beaten to death at a company warehouse in Seagraves, Texas. There has still been no arrest, however, and the matter remains under investigation, according to an Agriliance spokesperson last week. Robert Bryant, 54, was a long-time employee. Speculation was that he was the first to work and surprised a burglar (GM April 7, 2008, p. 11). The Gaines County Sheriff’s department later offered a $5,000 award for information leading to an arrest (GM April 28, 2008, p. 12). In the meantime, in another ag-retail related murder in Hartsville, S.C., the alleged murderer was caught but still awaits trial. Eddie Anthony Huggins, 39, was arrested in Pennsylvania Oct. 2 for the brutal murder and robbery of prominent fertilizer business owner and manager Keith Hoyle Hancock, 57, at Gardner’s Fertilizer & Farm Supplies. Even if Huggins were to go free, he’s facing up to 44 years on parole violations in Virginia, Chief of Police Tim Kemp told Green Markets. “He’s essentially facing life in prison or the death penalty here depending on what the prosecutor and family decide,” Kemp reported. “I know they want to get some closure for the family, but I assure them he isn’t going anywhere.” It was a brutal incident and the only homicide in Hartsville in 2008, in which Hancock was beaten with an axe handle. He died at the scene approximately an hour after Hartsville police received the call. Hancock’s father-in-law, Harrell Gardner of Hartsville, was his business partner.