Sarasota-By a single day, Sarasota County beat a potential deadline for local governments to adopt their own rules for regulating the use of fertilizers ?Çô if the Florida Legislature adopts a proposal. However, the rules the county adopted were not as strict as had been originally proposed. The new rules approved by the county commission on April 30 called for companies that do professional fertilizer applications to have trained their employees on protection of water resources within six months or face fines of up to $500 and up to 60 days in jail for company representatives. Initially, the county proposal called for a ban on the use of fertilizers with more than 2 percent phosphorus, as well as prohibiting use within 25 feet of a body of water. The bill in the legislature, CS/HB 1197, would create a study group of representatives from the fertilizer industry, agriculture, water management districts, the legislature, and local governments, and report its findings and recommendations for statewide rules by Jan. 15, 2008. The fertilizer industry said it would be difficult or impossible to meet rules for all cities and counties in the state. It would have also prohibited local governments from adopting their own rules on May 1. The legislative session ended May 4, but the bill had not been brought up for a vote late last week.
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Tank fire shuts down Oklahoma refinery
Denver-The restarting process was begun early last week at the Wynnewood Refinery near Oklahoma City, which was shut down by lightning-caused gasoline and diesel tank fires April 27, but according to local officials at parent Gary-Williams Energy Corp. it was still uncertain when refinery operations, including sulfur recovery, can be resumed. “We may be able to make a pretty good estimate in a couple of days,” reported GWEC spokeswoman Sally Allen. The fire started just before noon when the lightning hit a 50,000-barrel refinery gasoline storage tank. Later that night the fire spread to an adjacent 20,000-barrel diesel fuel tank. Anticipating a loss of power from lines passing near the burning tanks, refinery workers shut down the plant about midnight. The fires burned themselves out without incident the next day. There were no injuries and no environmental damage. GWEC described the effort as probably the largest sustained mutual aid response the area has ever experienced. An estimated 110 refinery firefighters and others from 15 mostly volunteer departments kept the fire contained to the two tanks. The Red Cross was on the scene throughout.
Rhodia to pay $2 million in consent decree
Washington-The U.S. Department of Justice reports that under a consent decree Rhodia Inc. will be required to pay a civil penalty of $2 million, of which $1 million will be paid to the U.S. and the rest divided among the City of Hammond, Ind., the State of Indiana, the State of Louisiana, and the Bay Area Air Quality Management District of California. The decree further requires Rhodia to meet certain emission limits for sulfur dioxide and acid mist, and to comply with the New Source Performance Standards, Subpart H requirements, including performance testing and monitoring. The decree relates to violations of the New Source Review permitting and control technology requirements, as well as the New Source Performance Standards at six Rhodia sulfuric acid plants in Hammond, Ind.; Baytown and Houston, Texas; Martinez and Dominguez, Calif.; and Baton Rouge, La.
Judge rules in favor of sulfuric acid buyers
Chicago-Judge David Coar of the U.S. District Court for the Northern District of Illinois recently ruled in favor of sulfuric acid buyers, allowing them to have class action status in a price fixing suit brought against producers. He defined the class as “all persons (excluding federal, state and local government entities and political subdivisions, the defendants, and their respective parents, subsidiaries and affiliates) who purchased sulfuric acid in the U.S. directly from one or more of the defendants or their parents, subsidiaries, affiliates, or joint ventures during the period Jan. 1, 1988 to Jan. 18, 2003.” The defendants include Falconbridge Ltd., Noranda Inc., Norfalco LLC, Pressure Vessel Services Inc., GAC Chemical Corp., Marsulex Inc., ChemTrade Logistics Inc., Intertrade Holdings Inc., and Koch Industries Inc. Another defendant, E. I. du Pont de Nemours & Co., settled with the plaintiffs in 2006 for $5 million. The plaintiffs are eyeing damages of $500 million, including treble damages and fees. The defendants have asked Judge Coar to reconsider. They have argued that sulfuric acid is marketed in multiple forms, strengths, and grades, and is distributed within specific geographic divisions. They argued it has localized business and distribution patterns and inconsistent pricing schemes. Likewise, they noted that some acid is produced as a byproduct and is produced independent of demand. Assuming the case does proceed to trial, Judge Coar said the plaintiffs must show a “conscious commitment to a common scheme designed to achieve an unlawful objective.”
TFI praises oil and gas drilling plan
Washington-The Fertilizer Institute last week praised the Department of Interior’s Minerals Management Service (MMS) for releasing a plan to increase oil and natural gas drilling in federal waters through 2012. The plan includes extending oil and gas leasing in the Gulf of Mexico south of an area known as Lease Sale 181. It also includes expanding oil and natural gas drilling near Bristol Bay in Alaska’s North Aleutian Basin and in federal waters off the coast of Virginia. TFI worked with other groups last year to pass legislation to rescind a 25-year ban on drilling off the coast of Florida. The legislation, which became law, is expected to redistribute $170 billion in federal royalties to states from the federal treasury. “TFI will continue to urge the agency to make more acreage in the Outer Continental Shelf available for development,” said TFI President Ford West. “However, that power ultimately lies with Congress, and Congress continues to keep more than 80 percent of the OCS off limits to drilling.”
Tiny TerraCycle takes on Scotts suit
Trenton, N.J.-TerraCycle Inc., a startup company founded by two Princeton students to market an organic liquid plant fertilizer in recycled plastic soda bottles, is rolling out a media campaign to respond to a product infringement suit filed recently by Scotts Miracle-Gro. “They have more attorney muscle so we’re relying on our public relations power,” TerraCycle spokesman Albe Zakes told Green Markets. TerraCycle, which is not to be confused with Terra Industries Inc. or Terra Nitrogen Co. LP, produces compost from worm castings, or “poop” as the company prefers to call it. Zakes says TerraCycle, which is located in an urban enterprise zone in Trenton, donates 5 cents for each bottle collected by schools, and since 2004 has used 2 million of them to package and sell its product through independent retailers and marketing giants such as Home Depot, WalMart, and Target. “We’re the only company in the fertilizer industry that uses recycled soda bottles in all different shapes and sizes,” he explained. “It’s an all natural fertilizer that’s liquefied with additional NPK which is low but at quantities the plants want to eat it. The microbacteria is literally alive in the bottle to enable plants to take more nutrients out of the soil.” But the suit claims the product too closely resembles Scotts’ Miracle-Gro, with a similar green and yellow label displaying a circle and a picture of flowers and vegetables on it. “The suit is primarily over false advertising (with) product packaging that’s similar to our Miracle-Gro,” stated Scotts spokeswoman Su Lok. “It doesn’t matter how big or how small. We take any claims about our product seriously and simply protect our brand.” She said that TerraCycle doesn’t have any edge in the recycling business since Scotts is one of the largest users of organic material, including in its products 3.2 billion pounds annually of wood and food and other such byproducts that would otherwise be discarded into the waste streams.
Itronics reports 60 percent increase in fertilizer sales
Reno-Itronics Inc. reported first quarter 2007 GOLD’n GRO fertilizer division sales by its subsidiary, Itronics Metallurgical, Inc., were $531,000, compared to $332,000 in the comparable quarter last year – an increase of 60 percent. GOLD’n GRO liquid fertilizer sales were $417,055, up 74 percent in the first quarter. Itronics expects to report full financial results for the first quarter on May 15 when it files its First Quarter Form 10-QSB. “The company recently completed the start up of its new air purification system for the refinery and we expect the increase in silver sales to resume, driven by growth in GOLD’n GRO liquid fertilizer sales in 2007,” said Dr. John Whitney, Itronics president. “The company is continuing to develop new sources of used photochemicals that are converted to make GOLD’n GRO fertilizers. On-going sales growth is demonstrating successful implementation of the company’s eight part long-term growth plan.”
House passes bill to revamp locks and dams
Washington, D.C.-The U.S. House of Representatives on April 9 passed the Water Resources Development Act (WRDA), which authorizes nearly $16 billion in funding for the U.S. Army Corps of Engineers to modernize locks and dams in key areas such as the upper Mississippi and Illinois rivers. H.R. 1495, sponsored by House Transportation and Infrastructure Committee Chairman Jim Oberstar (D-Minn.), passed by a vote of 394 to 25, and the Senate is expected to take up similar legislation in May. According to the Agricultural Retailers Association, which strongly supports the measure through its affiliation with the National Waterways Coalition, the White House’s Office of Management and Budget issued a statement opposing the legislation, however, citing budgetary reasons. ARA said the legislation “will help improve the nation’s water transportation system and make it more efficient to move agricultural commodities and other agricultural products to market. Enactment of WRDA is essential if the U.S. agricultural industry expects to remain competitive in the global marketplace.”
TFI reports testing data receives approval
Washington-The Fertilizer Institute reports that the Organization for Economic Cooperation and Development (OECD) has approved product testing data on phosphate and ammonia products generated by TFI and the European Fertilizer Manufacturers Association (EFMA) for inclusion into an international database of chemicals. The approval came at an OECD Screening Information Data Sets Initial Assessment Meeting (SIAM) in Paris, France. Acceptance of the data by the OECD provides further credibility to efforts to demonstrate with scientific data that fertilizer products are safe. “TFI completed its product testing program on 23 fertilizer materials in early 2003, demonstrating that all major fertilizer products are safe when used as intended and pose no harm to industry workers, community members or the environment,” said TFI President Ford West. “We are pleased at EPA’s sponsorship and the OECD’s approval for our phosphate and ammonia products in this internationally recognized forum.” The United States is the sponsor country for fertilizer products within the OECD process, and the U.S. Environmental Protection Agency (EPA) served as the formal presenter for the TFI-EFMA data at the Paris OECD meeting. TFI was also present to provide technical support on the testing data. Successful adoption by OECD of these fertilizer products also confers regulatory approval through EPA’s High Production Volume (HPV) data challenge, and covers many of the important data points necessary in the current European Union’s Registration, Evaluation, Authorization and Restriction of Chemicals (REACH) program. EPA’s HPV Challenge program was developed to make publicly available a complete set of baseline health and environmental effects data on HPV chemicals. The data will provide the basis for better and faster decisions on which chemicals present risks and how to eliminate or manage these risks. It is EPA’s goal to assure that the public has access to health and environmental effects data for chemicals that are present in their environment. “TFI has been working to seek regulatory approval of this fertilizer product testing data both nationally and internationally and we thank EFMA for its assistance with this effort,” said West. “International approval for this safety data is essential given the globalization of the fertilizer industry and the increased efforts on the worldwide regulation of chemicals.” The nitrates and sulfate groups of TFI-EFMA fertilizer data are scheduled for OECD review in early November and fertilizer acids are scheduled for review in April 2008.
Management Briefs
Pete Valesares has been named president of Yara North America, Inc. He replaces Jack Gale, who has left the company to pursue other interests. Mike Hanson will continue in his position as vice president – Eastern wholesale, further assuming many of the responsibilities previously held by Valesares.
Jim Crawford resigned from Oakley International last week to take the position of international phosphate manager at Transammonia. Crawford will be responsible for both domestic and export phosphate sales, and Rick Bohls, who has been handling domestic sales, will report to Crawford. Crawford’s new number is 813- 261-0060.
Ben-Trei Fertilizer Co. reports that it has added Travis Wilson as vice president, fertilizer sales. Wilson will be moving to the Tulsa office and will be responsible for Ben-Trei’s overall sales and expansion program. He previously held positions with Ameropa North America and DeBruce Fertilizer.
Potash Import & Chemical Corp., New York, has announced the hiring of Matthias Schwind as director fertiva division, effective May 15, 2007. He comes to PICC from fertiva GmbH, Mannheim, Germany, and will be responsible for exploring market opportunities for the fertiva line of nitrogen and compound fertilizers in the U.S. and Canada. Both PICC and fertiva are part of the K+S Group, Kassel, Germany, and PICC says fertiva’s products will be complementary to PICC’s existing product line of potash and magnesium fertilizers.
Spur Ventures Inc., Vancouver, which has its sights on becoming the fastest growing integrated supplier of plant nutrients for the Chinese farmer, has invited Wu Sihai, president of the International Fertilizer Industry Association, to join the company’s board of directors as an independent director. Spur noted that Wu has many years of experience in the fertilizer industry, in both technical and executive positions. He is vice director of the China Petroleum and Chemical Industry Association, and since 2003 has been a member of the China National People’s Congress of Qinhuangdao, Hebei Province.