Dyno Nobel Americas President Gary Kubera reports that ammonium nitrate production at Dyno Nobel’s Donora, Penn., plant will be discontinued effective May 1, 2015. The plant will remain in idle status while the company continues to pursue opportunities in the market.  

Dyno said while manufacturing will be idled, the Donora site will remain operational and continue to serve as an integral component of the company’s supply chain providing AN to customers located along the East Coast. The company will periodically evaluate whether market and commercial conditions warrant the resumption of AN production at the plant.

Dyno said its commercial decision is based on a number of factors including an evaluation of customer volumes and the steady decline in production of Appalachian coal. Donora produces industrial grade AN for the explosives market. Dyno said the decision enables it to best align production with demand while still pursuing new opportunities that may arise in the marketplace. “This business decision will allow us to remain flexible to new opportunities and market changes,” Kubera noted.

The Donora plant will continue to remain operational with a reduced staff dedicated to the fulfillment of customer orders while the manufacturing operation remains idle. Layoffs are expected. “We understand the impact that this decision has on our employees and their families and we will do all we can to support them through this transition over the coming weeks,” said Kubera. Dyno has a team to work closely with employees and representatives to assist employees displaced by the idling of the plant.

Sociedad Química y Minera de Chile SA (SQM) reports that the Chilean Superintendence of Securities and Insurance initiated an administrative process against the five current members of SQM’s board of directors for allegedly failing to provide the market with information that could be relevant for investment decisions in a timely and reliable manner. SQM said the information is mainly related to the preliminary estimate of the potential impact on the company’s financial statements of certain expenses paid by SQM between 2009 and 2014 and that may not qualify as tax expenses under the Chilean tax code, due to insufficient supporting documentation.

The Mosaic Co. said March 30 that the expected impact from the recent changes in Saskatchewan’s Potash Production Tax (CRT) calculation will increase the company’s 2015 CRT pre-tax payments by $80-$100 million. This increase in the company’s 2015 CRT obligation is additive to Mosaic’s guidance for 2015 CRT and Canada Royalties of $215 to $275 million provided as of Feb. 11, 2015.

Mosaic said it is continuing to assess potential ways to mitigate the increase, and expects to update all guidance, including CRT and Canadian Royalties, on April 30, in the first quarter 2015 earnings release.

Potash Corp. of Saskatchewan Inc. complained about the tax changes soon after they were announced (GM March 23, p. 1) and said they would decrease its 2015 pre-tax earnings by C$75-100 million.

Agrium Inc., which is a smaller producer, at the tail-end of a major expansion, expects no significant impact on near term earnings.

Cameron Chemicals Inc. reports that it has entered into a definitive agreement with Agrium Inc. to purchase the Reese Micronutrient Production Facility located in Reese, Mich.  The transaction is anticipated to close in the second quarter of 2015.

The Reese facility will be operated under newly incorporated, Advanced Micronutrient Products Inc. (AMP), and led by Bobby Bowen, John Bowen and Mark Whitfield. Products produced at Reese will continue to be sold under the AMP logo and trademark following the close of the transaction.

Cameron Chemicals Inc., founded in 1987, is headquartered in Virginia Beach, Va., with a production facility in Suffolk, Va.  It manufactures of dry granular micronutrients as single elements or as multi element mixes. Its products are marketed and sold through distribution networks located in North America, Europe, Asia and many other countries.

USDA is forecasting 89.2 million acres of planted corn in the U.S. in 2015, according to the annual Prospective Plantings report released on March 31. The estimate is down 2 percent from last year, but up slightly from the 89 million-acre forecast the agency gave in last month’s early-season projections.

“Planted acreage for 2015 is expected to be down across most of the Cornbelt, with the exceptions being Minnesota and Wisconsin, which are both expecting an increase in planted acreage from last year,” USDA said. If the 2015 forecast is realized, USDA said this will be the third consecutive year of an acreage decline, and the lowest planted corn acreage in the U.S. since 2010.

Soybean planted area for 2015 is estimated at a record high 84.6 million acres, up 1 percent from last year and also higher than the February early-season forecast of 83.5 million acres. “Compared with last year, planted acreage intentions are up or unchanged in 21 of the 31 major producing states,” USDA said, noting that increases of 200,000 acres or more are anticipated in Arkansas, Iowa, and Ohio. “If realized, the planted area in Kentucky, Minnesota, New York, Ohio, Pennsylvania, South Dakota, and Wisconsin will be the largest on record,” USDA said.

All wheat planted area for 2015 is estimated at 55.4 million acres, down 3 percent from 2014 and down just slightly from the February early-season projection of 55.5 million acres. The 2015 winter wheat planted area, at 40.8 million acres, is down 4 percent from last year but up less than 1 percent from the previous estimate. Area planted to other spring wheat for 2015 is estimated at 13.0 million acres, down slightly from 2014. The intended durum planted area for 2015 is estimated at 1.65 million acres, up 18 percent from 2014.

All cotton planted area for 2015 is estimated at 9.55 million acres, down 13 percent from 2014 and also trailing USDA’s February early-season forecast of 9.7 million acres. “If realized, this will be the lowest planted acreage in the U.S. since 2009,” USDA said. “Growers in all states except Oklahoma are expected to reduce planted acreage from last year. If realized, planted area in Arkansas, Louisiana, and Tennessee would be record lows.”

Area planted to rice in 2015 is expected to total 2.92 million acres, down 1 percent from 2014 but up just slightly from the February early-season estimate of 2.90 million acres. “The expectation of lower prices for 2015 is contributing to the expected decline in rice acres compared with last year,” USDA said.

The economic daily Calcalist reports that the New York-based Trump family are looking for a buyer for Haifa Chemicals. The report said that the asking price is $1.3 billion. According to the paper the Trump Group (privately owned by Jules and Eddie Trump) met with investment bankers in New York about the proposed sale.

Calcalist said that so far the contacts have not led to any deal and speculated that it may be a result of the high asking price. Haifa Chemicals CEO and President Nadav Shahar denied that Haifa Chemicals was up for sale. Another Israeli economic newspaper Globes reported that a Chinese Israeli private equity firm is still in talks to acquire a 49 percent stake in Haifa Chemicals at a valuation of $1 billion. The firm, Catalyst-CEL is reported to be leading a group of investors with the most prominent being China’s Everbright International. The Catalyst Group is headed by Edward Cukierman.

The Trump Group acquired Haifa Chemicals, a leading producer of potassium nitrate, from Arie Genger in what was a hostile takeover. In 2001 they bought a 47 percent stake in Trans-Resources Inc. (TRI) and in 2008 following a dispute with Genger were able to obtain majority control. Last week Israel Chemicals Ltd. said it was studying a plan to build a potassium nitrate plant.

Israel Chemicals Ltd. has demanded that workers end their strike or it may be forced to expand layoffs. ICL said the strike could result in the loss of customers including key customers and this would necessitate more cutbacks.

The threats came in a letter to striking Dead Sea Works and Dead Sea Bromine Compounds workers from ICL Manager for Israeli Operations Avner Maimon and the Head of Human Resources at ICL Ehud Nitzan.

The warnings came as hundreds of Dead Sea Works workers demonstrated at the gates of the Sdom plant accusing management of hiring contract workers and using them to operate some of the facilities and thereby breaking the strike. The workers succeeded in breaking in to the grounds of the plant and demanded that contract workers leave the site. The union charged ICL management with acting brutally towards workers instead of ending the strike through negotiations.

The board of directors of Yara International ASA has appointed Svein Tore Holsether as the company’s new president and CEO. He will succeed acting CEO Torgeir Kvidal in October 2015.

Holsether currently serves as president and CEO of Sapa Group, a position he has held since 2011. Prior to this, he has held a number of management positions in Elkem, Orkla and Sapa. Holsether was born in Norway in 1972 and holds a BSc in Finance from the University of Utah.

"Svein Tore Holsether is a perfect fit for Yara, and the board of directors is very satisfied that he has decided to join the company. His extensive background from international industry coupled with his personal capabilities makes him highly qualified for the position as CEO," said Leif Teksum, Yara board chairman.

"I am very pleased to have the opportunity to join Yara. The company performs very well and holds a unique position throughout its global footprint. In a time of many worldwide challenges, I look forward to working on solutions addressing issues of fundamental needs like food security and protection of the environment," said Svein Tore Holsether.

Torgeir Kvidal, who has served as acting CEO since October 2014 will resume his previous position as CFO. At the same time, Thor Giæver, currently acting CFO, will return to his position as head of investor relations.

"Torgeir Kvidal has done an excellent job as acting CEO over the last months, as also recognized by the employees and external stakeholders. At the same time, the board of directors appreciates his wish of returning to the position as CFO, in which he will continue to be a valuable contributor in the management team," said Leif Teksum.

Holsether will join Yara Oct. 1, 2015.

Canpotex said today that it has finalized potash supply contracts for 2015 with all of its major customers in China, including Sinofert (Sinochem Fertilizer Macao Commercial Offshore Ltd.). Pricing was confirmed with its customers at current competitive levels.

Canpotex did not specify the price, however, Belarusian Potash Co. settled a few weeks ago at $315/mt CFR.

Canpotex expects its 2015 shipments to China will reach a minimum of approximately 1.8 million mt, surpassing the 1.6 million mt shipped in 2014. Under the parameters of its existing Memorandums of Understanding (MOUs), shipment volumes could increase to a maximum of approximately 2.5 million mt, depending on market demand, supply availability and logistics. “We are encouraged by the strength we are seeing in Chinese potash demand,” said Steve Dechka, Canpotex’s president and CEO. “We believe these settlements help position our key customers in this region for continued growth and highlight Canpotex’s increasingly important role in supporting China’s rising potash needs.