USN uses force majeure excuse
U.S. Nitrogen Co. LLC, Mosheim, Tenn., told regulators in a letter March 10 that a combination of market conditions, equipment limitations and safety considerations underlie a claim of force majeure. It is making these arguments to ask the Tennessee Department of Environment and Conservation for an eight month extension to supply operating data for its nitric acid plant in Mosheim, Tenn. (GM March 10, 2017).
The company has to provide long-term operating data to TDEC, however, USN says that due in part to market conditions it is unable to operate the acid plant.
“…the market for our product has changed such that we are able to produce more nitric acid and more ammonium nitrate solution than we can sell,” USN Plant Manager Andrew Velo said in his letter. “These market conditions are beyond our control, and we certainly did not anticipate them.” He also went on to say that should USN produce the acid, it currently does not have a place to store it. While railcars could be brought in, he noted that this would create potential environmental and safety issues due to the loading and unloading. He also referenced problems with the plant’s NOx continuous emission monitor.