AMMONIA
U.S. Gulf/Tampa: Although no new business was reported last week, the good news was that sources said ammonia was starting to move in the heartland. However, many still remain concerned over the fate of ammonia at Tampa and NOLA. Reduced phosphate production is a concern for those supplying Tampa. And phosphate producers are gearing up for a stiff uptick in sulfur prices for the second quarter, which might make them all the more anxious to carve some more dollars off the ammonia price for May. Phosphate Holdings Inc., the owner of Mississippi Phosphates, told analysts last week that it expects ammonia prices to continue to weaken during the second quarter.
Eastern Cornbelt: Fieldwork continued at a brisk pace in the region, although scattered storms slowed activity in some locations. Sources reported heavy preplant fertilizer movement last week. One Ohio source said his location had been “pushing hard” since the previous week, with growers likely to begin planting corn by mid-April.
Sources tagged the anhydrous ammonia market at $420-$425/st FOB regional terminals to the dealer, with the low in Illinois and the high in Indiana. One source said spot pricing reported one week earlier at the $440/st FOB level in Illinois was no longer there, with most suppliers backing down to $420/st FOB. He noted, however, that levels could push up to the $425-$430/st FOB range as prepay material is used up and buyers return to the market for spot/prompt tons.
Western Cornbelt: Growers were in the field as weather and soil conditions permitted last week, but many areas were hit with wet weather early in the week. Preplant ammonia continued to move to the field in areas unhindered by inclement weather.
Sources quoted the ammonia market in a broad range at $360-$420/st FOB, depending on location, with the low reported in Nebraska and the upper end quoted by Missouri sources FOB Palmyra. One Missouri source also quoted delivered ammonia in the $410-$415/st range from southern production points.
Effective April 6, Koch’s ammonia postings moved to $360/st FOB Beatrice, Neb.; $365/st FOB Aurora, Neb.; $370/st FOB Greenwood, Neb., and Whiting, Iowa; and $375/st FOB Sergeant Bluff, Iowa.
Southern Plains: Fieldwork was underway and planting of spring crops was taking place in the region, although weather continued to slow the pace in some areas. Kansas sources said preplant ammonia was “going as hard as it can go,” and several sources talked of long truck lines at ammonia terminals.
The ammonia market remained at $325-$360/st FOB in the Southern Plains region, with the upper end out of pipeline terminals. Sources tagged the market FOB regional production points in the $325-$345/st range, depending on location.
South Central: Rainfall over the Easter weekend slowed the fieldwork pace in Tennessee and Arkansas, but growers remained busy in Louisiana with preplant and planting activities. Preplant ammonia was moving briskly in parts of Kentucky in early April. Sources tagged the terminal price at $390-$420/st FOB for cash tons to the dealer, with the low at Memphis and the high at Henderson, Ky. Dealer pricing FOB Blytheville, Ark., was quoted at the $395/st level last week.
Black Sea: Even as more plants open, sources say, the price in the area is holding even. European demand is apparently strong enough to help keep the supply-demand ratio in balance. Sources in Asia say strong demand from East Asia and India is keeping producers in the Middle East and Southeast Asia fully occupied. The demand for material is such that there is no competition for west of Suez markets from the East.
Middle East: Producers are now claiming that $400/mt FOB has been done and will soon be the lower end of the price range. Demand from India remains strong under longterm contracts, and Asian buyers are regularly asking for additional tons.
One trader noted that Iran, which has been a spoiler on prices as far as the Arab producers are concerned, is now sold out for the next four-to-six weeks. Their lower FOB prices will not be a drag on Arab producer efforts to push the price higher.
Reportedly, Indian buyers are pushing back against higher prices. The problem is that for many, they are stuck with contracts that set the price under a formula basis.
Those who are negotiating contracts at this time are trying to push back the initial price, but are facing a tight market and aggressive pricing ideas from producers.
One producer noted that the Indian buyers are still getting a good price compared to what any spot buyer would get – and compared to what the East Asian buyers have to pay.
Sources now peg the Arab Gulf market at $380-$400/mt FOB.
Asia: Buyers keep clamoring for more tons. They are also complaining that delays in delivery are causing them problems. One ammonia producer admitted delays were occurring, but failed to point to any one cause. “Delays are just happening here and there,” he said.
Demand for ammonia from a wide spectrum of buyers in Asia is putting pressure on not only the availability of ammonia, but also the fleet of vessels to move the material. One source said freight rates are moving up.
Besides strong demand, supply in the area is not where the industry would like to see it.
The Mitco plant in Malaysia is running at only 75 percent capacity, one source reported. The company is working to correct the situation, but there is no word yet as to when full capacity will be achieved.
The Mitsui KPA plant in Indonesia is back up and running, but will need at least a week to get up to full production.
Sources report South Korean buyers are beginning talks for more ammonia contracts. Sources also say that the current system of combining contracts and spot purchases is leaving some buyers short of material at crucial times.
So far, said one trader, no one has been left without ammonia, but the buyers are objecting to ever-higher prices.
One source pegged the current South Korean market at $440-$450/mt CFR. Suppliers are arguing the price needs to go higher, pointing to the rising Middle East price and tighter freight possibilities.
UREA
U.S. Gulf: Most players last week were focused on reports of $290/st FOB being done for granular barges. Many sellers continued to argue that those numbers were too low and it was too early for sellers to panic. There was some suggestion – but no confirmation – that sub-$290/st FOB business might just be around the corner. However, others disagreed with this assessment, saying that once the $290-$291/st FOB business was done, new trades occurred as high as $295-$298/st FOB.
Eastern Cornbelt: The granular urea market had reportedly slipped to $345-$355/st FOB in the region, with the low out of river locations in Illinois and Ohio and the higher number quoted by Ohio sources FOB E. Liverpool.
Western Cornbelt: Granular urea was pegged at $340-$350/st FOB in the region, reflecting another slight drop from last report. One Missouri source quoted the common dealer market in his trade area at the $345/st FOB mark last week.
Southern Plains: Granular urea pricing continued to fall. Sources pegged the market at $325-$330/st FOB, down another $5/st from the previous week, with the low at Inola, Okla., and the upper end reflecting the reference price FOB Enid, Okla.
South Central: Urea pricing was down from last report. Sources tagged the dealer market at $330-$340/st FOB regional terminals, with the lower numbers at more southerly locations. The market FOB Memphis was pegged at the $335/st level, while pricing out of Arkansas terminals was generally in the $335-$340/st FOB range. Based on expected acreage increase, one source said urea demand for rice applications looks positive.
Southeast: The granular urea market was pegged at $350-$355/st FOB port terminals, depending on location, with most sources touting the low end of that range as the common dealer price last week.
India: IPL awarded 640,000 mt last week from its April 1 tender. The buyer was able to “persuade” suppliers to lower their offers to ensure the price fit into the range set by the Indian treasury. The government wanted to keep prices below $310/mt CFR. The main concern was making sure that imported urea did not break the bank once subsidies are paid out to cover the difference between what farmers are charged and the cost of the urea.
In 2008 the Indians faced a serious economic situation as the global market skyrocketed, causing massive unplannedfor subsidy payments.
The tabulation follows.
| Company | Quantity (mt) | US$/mt CFR | US$/mt FOB | Delivery Port |
| PIC | 90,000 | 284.00 | ||
| Fertil | 50,000 | 285.00 | ||
| Transammonia | 100,000 | 304.00 | Mundra | |
| 306.00 | Kandla | |||
| Helm | 90,000 | 304.00 | Mundra | 306.00 | Kandla | 309.00 | Vizag |
| Ameropa | 55,000 | 304.00 | Mundra | |
| Gavilon | 55,000 | 304.00 | Mundra | |
| 309.00 | Vizag | |||
| Continental | 50,000 | 307.00 | Krishnapatnam | |
| Dreymore | 50,000 | 304.00 | Mundra | |
| Swiss Singapore | 50,000 | 307.00 | New Manglore or Pipavav | |
| RJ Healthcare | 50,000 | 308.00 | Paradeep | |
| 309.00 | Vizag |
Sources report Helm and Swiss Singapore both offered a combination of open and Iranian tons. Continental reportedly is holding CIS and Iranian material. RJ Healthcare and Ameropa are said to be offering CIS tons. Sources speculate that Transammonia will fill its order from Oman. Gavilon is said to have a combination of Egyptian and CIS tons on hand for delivery.
The action taken by IPL falls into the standard pattern of Indian buying. Some Arab Gulf producers were involved at FOB rates reasonable to both sides. The buyer then used set prices for each port, with the material offered on a delivered basis.
Freight rates from the Arab Gulf to West Coast ports are pegged at $20/mt. That would put the PIC and Fertil offers at $304/mt CFR and $305/mt CFR, respectively. Add a couple of bucks for handling – or maybe even subtract a few bucks, depending on who provides the vessel – and the price falls within the delivered target price for the Indian government.
Freight from the Black Sea is estimated at $50-$60/mt.
Initially the conventional wisdom put the target price at $300/mt CFR. As the tender date approached, word from India was that a range of $300-$310/mt CFR would be acceptable.
Just before the tender closed, sources said IPL was hoping for a sub-$300/mt CFR price.
All of the traders had to lower their prices to secure a deal. Helm, which offered at $304.47/mt CFR, took the smallest hit. Others that came in at $308-$315/mt CFR initially had to swallow a lot harder.
Sources now speculate that Indian buying may take a slight break.
The next round of Indian buying may come later this month or in early May.
Pakistan: The latest Pakistan tender closed April 10, after Green Markets went to press. The tender was for 75,000 mt to round out the buying needs for the upcoming application season.
The bulk of the urea imports for this season are covered by a government-to-government package between Pakistan and Saudi Arabia. Sabic will be providing about 300,000 mt under this deal. The remaining 125,000 mt will come from a tender.
Even with that material, the government now estimates it will need another 200,000 mt this season.
Mekatrade won the award with an offer of 50,000 mt at $311.39/mt CFR in the initial tender. Rather than negotiate with the second company on the list – Multicommerce – TCP called a new tender. The government wants the cargo from the new tender delivered by the end of the month.
Sources say many of the tons left over from the Indian tender could show up in the April 10 tender. Some observers say TCP might even be able to shave a couple of dollars off the last awarded price thanks to the Indian business.
Pakistan media are reporting that financial problems in the government are causing delays in the needed urea imports.
The letter of credit for the Mekatrade deal has yet to be opened, government sources told The International News of Pakistan. The cargo should unload at the port in Karachi by the end of the month.
The government has yet to decide how it will fill the remaining estimated 200,000-mt gap. Sources say the fertilizer review committee should make a decision about what to do soon. According to media reports, the delay seems to be because senior government decision makers have not been available.
The most likely solution will be another set of tenders starting next month.
Pakistan decided to import urea this season after delays in the start-up of new facilities at Fatima and Engro. The government hopes that once the plants are started, the country will be urea self-sufficient by October.
Middle East: Only two producers participated directly in the Indian/IPL tender. Industry watchers add that Transammonia was most likely backed by Oman, with whom it has a contractual selling arrangement.
Sabic stayed out because it is comfortable with its current orders. Besides its contracts to U.S. and Australian buyers, Sabic will be supplying about 300,000 mt in the next six weeks to Pakistan under a government-to-government deal.
Qafco was out, but only because it was having production difficulties, said one source.
The amount of Iranian material offered in the Indian tender was not a surprise to many in the industry.
Sources report that a lot of Iranian urea was picked up late last year with the intention of selling to African and Indian buyers. Some of the traders holding the Iranian material were reportedly getting nervous the longer India held back its buying plans.
The Iranians usually offer their material at a discount. There are many problems dealing with sales from Iran because of sanctions imposed on that country by the U.S. and the growing wariness of European governments.
Any deal with Iran, while often quoted in U.S. dollars, must include careful discussions between the trader and buyer about which currency will be used for the final payment to the producer, as well as an agreement on the exchange rate and currency fees to be used.
The complicated paperwork needed to ensure all U.S. sanctions against Iran are honored – including the use of U.S. dollars as payment – leads many buyers to shy away from taking Iranian tons. Sources say STC/India is one such company. One trader noted that STC will not accept Iranian urea in its tenders.
Sources say more Iranian material may be offered on the international market for the next four-to-eight weeks. The area market is now pegged at $283-$289/mt FOB.
Black Sea: Traders holding Yuzhnyy tons did okay – but not great – in the Indian tender. Sources report about 250,000 mt from Yuzhnyy could be moved to India under the tender awards granted. That amount may be less because many of the companies offering the tons also made their offers with “open” source designations.
While some traders like to look at $50/mt freight from Yuzhnyy to India, others have begun to say the price is closer to $60/mt.
With that range and the range of prices offered in the tender, sources peg the market at $250-$255/mt FOB.
China: Some traders in Asia expect to see Chinese material offered in the TCP/Pakistan tender of April 10. The tender documents call for shipment in June, which would allow Chinese material to be competitive.
The export duty will drop to 7 percent June 1, say sources. Even without the drop, industry watchers say there are still plenty of tons sitting in bonded warehouses available for sale. The material arrived in the warehouses before the export duty jumped to the current 110 percent.
Reportedly, one local trader has 200-300,000 mt of urea sitting in a portside warehouse looking for a buyer.
The domestic market is getting weaker than the international market. Sources report the combination of floods, droughts, and cold weather across various sections of the country has delayed the application and planting seasons.
NITROGEN SOLUTIONS
U.S. Gulf: Most players last week said there was a lull in the market as the industry waits for dealers to begin restocking. Generally, the last business was put in the $205-$206/st FOB range ($6.41-$6.44/unit), though some argue that sub-$200/st FOB could be done if a buyer was truly willing to pull the trigger.
Eastern Cornbelt: Sources pegged the UAN-28 market at $220-$230/st ($7.86-$8.21/unit) FOB regional terminals, depending on location, with the low end reported in the Cincinnati market. Dealer pricing for UAN-28 FOB E. Liverpool was tagged at $226.80/st ($8.10/unit) last week. Most UAN-32 spot quotes fell in the $255-$265/st ($7.97-$$8.28/unit) FOB range.
Western Cornbelt: UAN-32 pricing remained in the $255-$265/st ($7.97-$8.28/unit) range FOB regional terminals.
Southern Plains: UAN-32 was quoted in a broad range at $245-$260/st ($7.66-$8.13/unit) FOB regional terminals, reflecting an increase from last report. Although some claimed $240/st ($7.50/unit) FOB was still doable out of spot locations, most pegged the dealer market commonly in the $250-$260/st ($7.81-$8.13/unit) FOB range in the region last week, with the low at production points and the upper end out of storage tanks.
South Central: UAN-32 out of regional terminals was pegged in the $220-$240/st ($6.88-$7.50/unit) FOB range to the dealer, with $225/st ($7.03/unit) cited as a common dealer price FOB terminals in Arkansas and Tennessee. One source said there were still examples of tons purchased earlier at lower levels being offered in retail sales to growers at the $225/st ($7.03/unit) level as well. “The market will be skewed until the earlier bought product disappears,” he said.
Southeast: The UAN-30 market was quoted at $6.75-$6.83/unit FOB Wilmington, N.C., and Norfolk, Va., and at a solid $205/st ($6.83/unit) FOB Chesapeake, Va., to the dealer. UAN-32 out of Georgia terminals was pegged in the $235-$245/st FOB ($7.34-$7.66/unit) range in early April. “I need enough to get me through April, but not beyond,” said one source. “Everyone wants to be out by May and June.”
AMMONIUM NITRATE
U.S. Gulf: Most put the barge market at $260/st FOB, with very little activity.
Western Cornbelt: Ammonium nitrate was steady at $285-$290/st FOB in the region, with delivered tons quoted at the $305/st mark in Missouri and Nebraska.
Southern Plains: The ammonium nitrate market was tagged at $285-$290/st FOB the port of Catoosa, Okla., up slightly from last report.
South Central: Ammonium nitrate was quoted at $270-$285/st FOB regional terminals, with the low reported at Blytheville, Ark.
Southeast: The Tampa ammonium nitrate market remained at $280-$285/st FOB. A Carolina source quoted rail-delivered ammonium nitrate at the $300/st level from Mid-South shipping points.
AMMONIUM SULFATE
Eastern Cornbelt: Granular ammonium sulfate remained at $235-$240/st FOB in the region, with the upper end quoted out of Ohio shipping points.
Western Cornbelt: Granular ammonium sulfate was tagged at $225-$240/st FOB in the region, with the low in Missouri on a spot basis and the upper end quoted in Iowa.
Southern Plains: Granular ammonium sulfate was steady at $205-$245/st FOB Texas shipping points, with the low at Freeport and the upper end FOB Plainview and Littlefield. American Plant Food Corp. (APF) notified customers in an April 8 memo that its Freeport facility will be down in May for a three-week plant maintenance turnaround. The company said it anticipates a shortage of available ammonium sulfate as a result, but noted that it presently has “very adequate inventories of ammonium sulfate at both Freeport plants and our APF plants in Texas.”
South Central: Granular ammonium sulfate remained in the $200-$210/st FOB range, but sources acknowledged that replacement costs from some suppliers were at higher posted levels. APF was referenced at $235/st FOB Mermentau, La.
Southeast: Granular ammonium sulfate was unchanged at $195-$200/st FOB, with the low at Hopewell, Va., and the upper end FOB Augusta, Ga. Delivered granular sulfate was referenced at $215/st in Florida.
DSM Chemicals announced that they will raise their granular ammonium sulfate prices by $20/st on April 12, with standard grade moving up $10/st on that date. As a result, April 12 reference prices from the company will include granular at $220/st FOB Augusta and $235/st DEL in Florida, with standard moving to $166/st FOB and $175/st DEL in Florida.
PHOSPHATES
Central Florida: Farmers in Florida and Georgia were working in the fields last week, but activity was slow to take off in the Northeast and the Eastern Corn Belt. The northern areas have been delayed as a result of wet weather, but farmers were beginning to apply lime, and fertilizer will go down shortly after.
Truck sales accounted for most of the business out of Central Florida last week, but a couple of sources said trucks were hard to find and transportation was a problem.
CF reduced production briefly last week. However, according to the company, it was only for a few hours and was routine maintenance, which was built in to operating plans.
Phosphate producers were still in the process of negotiating with their sulfur suppliers late last week for new second quarter sulfur prices. A lack of sulfur was slowing phosphate production and holding down inventories.
The Central Florida DAP price range last week was reported at $410-$420/st FOB. While Mosaic’s posted price was $415/st FOB, it was also offering some buyers as low as $410/st FOB. CF’s price was $410/st, although supplies were limited. PCS Sales was charging market-based prices. Agrifos’ prices were $450/st FOB for DAP and $460/st FOB for MAP, but railcars were about $5/st FOB less, if available.
U.S. Gulf: The movement of phosphate from warehouses in the Gulf’s river system was spotty last week. Areas that have had a chance to dry out were finally seeing some action, but rain every few days in other places was making it difficult for farmers to get to work. In general, the weather forecast was for improved conditions during the next week.
The U.S. Army Corps of Engineers opened Lock 25 on the upper Mississippi last week. The April 4 opening was right on schedule, although some had hoped it would occur somewhat sooner.
Although the price of phosphate barges rose slightly, warehouse prices have not kept pace, and that was giving some buyers pause. The big fear from both traders and dealers was that they would have too much product left at the end of the season, and the price might decline during the off months.
The price of DAP at terminals last week was between $440/st FOB and $460/st FOB, with the higher prices being charged in the most remote areas of the north. The price of corn on the futures board was moving back up last week, and was around $3.90/bushel near the end of the week. That’s a little less than farmers would like, but considering the USDA’s estimate of more corn acreage to be planted this season, it was considered a good sign and should encourage farmers to use enough phosphate to keep the market healthy.
NOLA DAP barge transactions were up from the previous week, and so were prices. After slipping down to a flat $410/st FOB, a couple of barges traded at that number early in the reporting period. However, shortly afterwards prices began to rise, and $415/st FOB was the most common quote. One NOLA DAP barge was sold for $418/st FOB, but that price was achieved only because it was located up river, which reduced the travel time. However, $420/st FOB was reportedly achieved by the end of the week for two barges.
Based on transactions last week, the NOLA DAP barge price range changed from a flat $410/st FOB to $410-$420/st FOB. Time and location will be the biggest influences during the next week, as some areas will not be able to receive new shipments in time, and barges closer to the final destination will bring a premium.
Eastern Cornbelt: DAP remained at $455-$465/st FOB regional warehouses, with the low out of river terminals and the upper numbers inland. MAP was $10-$15/st higher than DAP. 10-34-0 spot pricing remained at $355-$365/st FOB in the region, with the upper end quoted in the Ohio market.
Western Cornbelt: DAP was steady at $450-$460/st FOB, with MAP $10-$15/st higher. 10-34-0 remained at $350-$360/st FOB in the region.
Southern Plains: DAP was pegged at a solid $445/st FOB the Tulsa market, with MAP $10/st higher. 10-34-0 was quoted at $325-$335/st FOB in the region. Effective April 1, Agrium’s phosphoric acid postings firmed $30/st to $785/st rail-DEL for both super phosphoric acid (SPA) and merchant grade acid (MGA) in Kansas, Colorado, Oklahoma, Texas, and New Mexico.
South Central: Louisiana sources said movement of phosphates and potash has been brisk so far this spring. DAP was quoted at $440/st FOB most regional warehouses to the dealer. MAP was $10-$15/st higher than DAP, where available. TSP out of regional warehouses was pegged in the $375-$390/st FOB range.
U.S. Export: KeyTrade was said to have made a sale into El Salvador at $470/mt FOB, but the amount of tonnage was not known. No other U.S. companies reported export transactions last week.
India was believed to have purchased another 250,000 mt from China, Australia, and Tunisia at $480/mt CFR. That would represent a decrease from the approximately five million mt it had already arranged at $500/mt CFR.
Based on the most recent deal by KeyTrade, the export DAP price range increased from a flat $460/mt FOB the previous week to another flat level of $470/mt FOB last week. The most likely and promising markets for the U.S. were in Latin America, but it did not appear prices would rise much in the near future.
Pakistan: The country will need to import 500,000 mt of DAP to meet requirements in the 2010 Kharif season (AprilSeptember), according to NFDC, which says the opening inventory in April would be 81,000 mt. The estimates of domestic production are 300,000 mt. While total planned DAP imports figures have not been confirmed by the importers, total DAP consumption is estimated at approximately 850,000 mt. Meanwhile, sources told Green Markets that so far Engro Fertilizer Ltd has placed orders for the import of 100,000 mt through three cargoes at a price of $545/mt CFR. More orders are expected in due course.
POTASH
U.S.Gulf: Potash barges were put in the $365-$372/st FOB range last week. Sources said Koch has unloaded Silvinit product in Charleston and NOLA, with barges in NOLA being offered in the $360s/st FOB last week. Gavilon is also reportedly bringing in Silvinit material to Wilmington and NOLA.
Eastern Cornbelt: Potash was once again quoted in a broad range at $405-$420/st FOB in the region, with the low out of spot river locations. Most sources described the market as untested. “I’m filled to the gills with potash and I’ll drain it to the back wall before I buy any more,” said one dealer.
Western Cornbelt: Potash out of regional warehouses was tagged at $395-$405/st FOB from resellers, with producer postings at the $420/st FOB and $430/st DEL levels.
Southern Plains: Sources quoted the potash market at $400-$405/st FOB Tulsa to the dealer. Potash postings from Intrepid Potash FOB Carlsbad, N.M., included $385/st for 60 percent standard, $390/st for 60 percent granular, $392/st for 62 percent standard, $395/st for 62 percent fine standard, and $398/st for 62 percent granular.
South Central: The potash market remained at $390-$395/st FOB regional warehouses, with reports of new sales taking place at that level. One source said volumes are up in his trade area due to a return to normal rates and an increase in the amount of acreage covered.
Southeast: Sources tagged the potash market at a solid $415/st FOB port terminals up and down the coast, with raildelivered potash quoted in the $430-$440/st range, depending on grade and location.
Sources said potash from Russian producer Silvinit has arrived in Charleston. Koch reportedly purchased a vessel from IPC, and it discharged in early April. There were reports from sources that Koch has a second Silvinit vessel due in Charleston on April 17. Gavilon has also reportedly purchased a vessel of Silvinit material that will be ported to Wilmington and NOLA.
Russia: Acron and Dorogobuzh signed potash supply contracts for 2010 with Uralkali. The contract price is set at RUB4,300/mt, or approximately US$146.83/mt. The contracts provide for supplying Acron and Dorogobuzh with 450,000 mt of potash throughout 2010, completely covering the companies’ potash needs.
SULFUR
Tampa: Second-quarter sulfur negotiations continued last week without resolution. Speculation was that the new price would be somewhere between $150/lt and $200/lt.
Sulfur supplies in the U.S. remained very tight last week, and buyers were scrambling to find enough to continue production at both manufacturing and phosphate processing industries. However, the world price was beginning to show signs of weakening. Still, while that might help on the international market, it may not make much difference in the U.S., where supplies continued to be limited.
Refinery production was on the increase last week and rose to 84.5 percent of capacity. However, inventories were beginning to build, even as prices at the pump were rising.
No transportation issues or problems were found last week.
Vancouver: Sulfur deals for sales between Vancouver and China were moving toward pricing on a monthly basis as opposed to the old practice of semester pricing. Buys from China were believed to be slacking off somewhat, but other customers were quickly taking up the slack.