Russia’s PhosAgro, one of the world’s leading phosphate-based fertilizer producers, has announced that it has signed a potash supply contract with Belaruskali.

PhosAgro CEO Andrey Guryev said: “Following last year’s breakup of the Belaruskali-Uralkali consortium, Russian NPK fertilizer manufacturers and agricultural producers, who account for approximately 2.1 million mt of demand per year, now have the option of buying potash from alternative suppliers based on which party can offer the best conditions.”

Citing lower prices, CF Industries Holding Inc. reported a 31 percent drop in net earnings attributable to common shareholders for the fourth quarter ending Dec. 31, 2013, compared to the year-ago quarter. While the Nitrogen segment saw only a 5 percent drop in margins, Phosphates, which is being sold to The Mosaic Co., recorded a 95 percent drop.

Fourth-quarter earnings were $325.8 million ($5.71 per diluted share) on sale of $1.33 billion compared to the year-ago $470.7 million ($7.40 per share) and sales of $1.48 billion.

Full-year earnings were off 21 percent to $1.46 billion ($24.74 per share) on sales of $5.47 billion compared to 2012’s $1.85 billion ($28.59 per share) and $6.1 billion, respectively.

The Agricultural Retailers Association (ARA) and The Fertilizer Institute (TFI) have announced plans to create ResponsibleAg, an independent, not-for-profit organization designed to support fertilizer retailers’ compliance with federal safety and security regulations.

Under ResponsibleAg, retail fertilizer dealerships will have access to comprehensive inspections based on federal regulatory requirements. The inspections will be carried out by trained auditors who will have successfully completed an intensive training course based on the objectives of ResponsibleAg.

“While the vast majority of fertilizer retail businesses operate safely, securely and in compliance with federal regulations, we are acting out of an abundance of caution and concern for the wellbeing of workers and communities,” said TFI President Chris Jahn. “ResponsibleAg will verify compliance at more facilities and with greater speed than is currently being done by the multitude of federal agencies that regulate the nation’s fertilizer retailers, so we are choosing to act now rather than waiting for the next government inspection.”

“ResponsibleAg will help ensure existing regulations are conveyed and easily understood by fertilizer retailers,” said ARA President & CEO Daren Coppock. “Retailers want to do the right thing, but overlapping, duplicative or potentially conflicting requirements make compliance a challenge. This program will help retailers by collecting the regulatory requirements into one standard, and offering them tools and information to ensure their facilities conform to all current federal regulations.”

ResponsibleAg will credential auditors who will inspect and verify individual facilities’ level of compliance with applicable federal regulations. Facilities that successfully complete assessments will be recognized for having done so. Any site that does not successfully complete an assessment will be provided a list of recommended corrective actions. Additionally, random quality assurance reviews to verify the assessments will be conducted by third party auditors.

TFI and ARA are each contributing $100,000 in startup capital for the organization, and the Asmark Institute is providing an ongoing contribution that provides for training programs, training facilities and administration of the ResponsibleAg website and database. Once established, ResponsibleAg will be funded by registration fees paid by participating fertilizer storage and handling inventory points and their suppliers. Auditor training costs will be funded by tuition paid by those seeking the ResponsibleAg auditor credential. Membership in TFI, ARA or any other organization is not a requirement for participation.

“ARA and TFI are committed to ResponsibleAg as a common sense approach to mitigating the potential of another accident like the one in West,” Coppock said. “Compliance needs to be the focus rather than a push for broad new regulations. The effort and resources retailers dedicate to compliance should be directed towards achieving the greatest level of safety and security possible for employees, first responders and the communities in which our members live and work.”

ARA and TFI will nominate a nine person board of directors which will be filled from a cross section representing the entire fertilizer distribution network. Once the board has been seated, it will adopt ResponsibleAg bylaws, create an annual operating budget and appoint a business manager to oversee day-to-day operations. When the initial board’s term has expired, subsequent directors will be nominated from ResponsibleAg participating organizations.

“Fertilizer retailers play a critical role in the nation’s food production system and support local economies by providing jobs and purchasing goo

CF Industries Holdings Inc. told analysts today that it is weighing the expansion of its urea capacity at its Medicine Hat, Alberta, nitrogen complex. CF would utilize existing ammonia production to upgrade into additional urea. It noted that the limited ammonia season in Western Canada and the Northern Plains.

A 31 year-old miner was killed after an accident at PotashCorp’s Cory potash mine in Saskatchewan Feb. 17. He was struck by a “ground fall” incident around 3:30 a.m. when ore fell and struck him. CPR was given and he was taken to the hospital where he passed away. Another employee was also taken to the hospital as a precaution.

The Cory mine, which employs 400, remained closed Feb. 18.

Intrepid Potash Inc. moved into the loss column for the fourth quarter ending Dec. 31, 2013, posting a net loss of $6 million ($0.08 per diluted share) on sales of $73.8 million, down from the year-ago net income of $14.5 million ($0.19 per share) on sales of $110.9 million. Potash sales volumes were off 17 percent and prices 22 percent.

For the full year, Intrepid remained in the plus column at $22.3 million ($0.30 per share) on sales of $336.3 million compared to 2012’s $87.4 million ($1.16 per share) and $451.3 million, respectively.

Israel Chemicals (ICL) has entered into a strategic alliance with Canada’s Allana Potash for the development of a new mine in northeast Ethiopia. There have been reports of a possible deal between the two companies for several months.

Under the terms of the agreement, ICL will invest $23 million in Allana and will hold approximately 16 percent of the company, and has an option to increase its stake up to 37 percent based on warrants that are part of the units it is purchasing. Allana is traded on the Toronto Stock Exchange.

ICL said it will support Allana and provide technical assistance in the development and operation of the Danakhil potash project in the Dallor region of Ethiopia. A feasibility study indicates that the mine will produce one million mt of potash within five years. ICL also said that the alliance includes an off take agreement between the parties whereby ICL will purchase and market the output of the mine.

ICL currently produces 5 million mt/y of potash from facilities in Israel, Spain, and Britain.