All Posts from April 16, 2012

Groups seek funding freeze for new ocean policy

News, News Briefs

Washington — The Fertilizer Institute and the Agricultural Retailers Association joined nearly 80 other groups on April 12 in sending a letter to U.S. House Appropriations Committee Chairman Harold Rogers (R-Ky.) asking that language be included in all Fiscal Year 2013 appropriations bills that would prohibit the use of funds to implement the new National Ocean Policy. The groups said more time for oversight and examination is needed to determine the potential impacts of the National Ocean Policy, which was drafted by the National Ocean Council to address some of the most pressing challenges facing oceans, the U.S. coasts, and the Great Lakes. Some of the actions advocated by the policy include improving the efficiency of ocean and coastal permitting processes; improving water quality by reducing the impacts of trash, marine debris, and sources of excess nutrients, sediments, pollutants, and pathogens; and providing locally tailored forecasts and vulnerability assessments of climate‐change impacts on coastal communities. “As currently set forth, the National Ocean Policy has the potential to unnecessarily harm terrestrial and marine economic values by affecting sectors such as agriculture, commercial and recreational fishing, construction, manufacturing, marine commerce, mining, oil, gas and renewable energy, recreational boating, and waterborne transportation, among others,” the letter to Rep. Rogers says. “Uncertainty continues to abound as to the meaning of the policy: how it will be implemented; the role of states and stakeholder user groups; its potential impact on the economy, budget, existing statutes and regulatory processes; and the authority of state and tribal officials.” The letter, signed by a wide array of commercial and recreational interests, also expresses concerns about the cost of implanting the policy. “Rather than expend federal funds to support new bureaucracies, procedures and regulations that could lead to further uncertainty, restrictions and delays, scarce taxpayer dollars should be allocated to existing entities, programs and activities that have been authorized by Congress and are necessary for businesses and the economy to properly function,” the letter states.

IC Potash and Yara close SOP deal

Eastern Canada, News, News Briefs, Northwestern Europe

Toronto and Oslo — IC Potash Corp. and Yara International SAS said April 12 that they have completed a deal in which Yara invested C$40 million in ICP (GM April 9, p. 13). ICP and Yara have also entered into a committed off-take agreement for the purchase of 30 percent of all products produced by ICP’s Ochoa project in New Mexico for a period of 15 years, and have agreed to discuss the possibility of establishing a jointly held entity for the purpose of marketing products produced by the Ochoa project. "We are delighted to finalize this investment and off-take with ICP,” said Yara President and CEO Jørgen Ole Haslestad. “Through this partnership, we have further positioned ourselves with a long-term upstream exposure to premium potash. We believe the North American market represents a significant opportunity for sulfate of potash and we look forward to working with ICP to bring the Ochoa project into production.” In connection with the investment, ICP issued to Yara 30,129,870 common shares at a price of C$1.32 per common share for total gross proceeds of C$39,771,428, resulting in Yara owning 19.9 percent of the issued and outstanding common shares of ICP on a non-diluted basis. The issue price represents a 41 percent premium over the 20-day volume weighted average price of ICP’s common shares traded on the Toronto Stock Exchange as of the closing on March 30, 2012, the last completed trading day prior to the announcement of the transaction. Following completion of the investment, ICP has 151,406,384 common shares issued and outstanding. Yara has the right to appoint one representative to ICP’s board of directors and the right to participate pro rata in all future equity or equity linked issuances by ICP.

Calcium Products expanding SuperCal output

Midwest, News, News Briefs

Fort Dodge, Iowa — Calcium Products Inc. (CPI) on April 12 announced a major expansion of its Fort Dodge manufacturing facility, which CPI officials said was in response to double digit demand for its SuperCal SO4 naturally-mined sulfur and gypsum product used by growers across North America. Because CPI is a privately held corporation it declined to release any figures, but said the expansion will involve a new standalone facility to be built north of the current plant in Ft. Dodge, and will double capacity in addition to increasing by 10 percent the current employment in all areas of the operation. Target date for completion of the new facility is Dec. 1, according to Craig Dick, vice president of sales and marketing. “The expansion should insure enough product for North American markets for the next five to seven years,” Dick told Green Markets, noting that CPI which has been doing pelletized gypsum for 17 years is marking its 25th anniversary this year. He said SuperCal S04 is available all over North America. “The Midwest grow crop is the primary base for SuperCal SO4, but we do have fair-sized markets in western Canada. We ship to every state in the country, including a handful of international shipments. And there is a pretty sizeable market right here in the Iowa area surrounding our production facility. The sulfur we use is gypsum-based, supplied from a local source. We are fortunate enough to have one of the purest gypsum mines in the country located in the Fort Dodge area, which yields 95 to 99 percent calcium sulfate dehydrate. There isn’t anybody in the country that has a product as pure and as reactive as our SuperCal S04.” Along with the signature products SuperCal SO4 pelletized gypsum and SuperCal 98G pelletized lime, CPI continues to develop additional products to meet the growing demand for natural products for farms, professional turf, and home.

Organic producer receives $110 M infusion

News, News Briefs, Northeast

Waltham, Mass. — Harvest Power, which harnesses renewable energy, soil, mulch, and fertilizer from organic materials, on April 12 announced a $110 million financing. True North Venture Partners led the investment, with American Refining and Biochemical, Inc. participating alongside existing investors, including Kleiner Perkins Caufield & Byers (KPCB), DAG Ventures, and Generation Investment Management. Harvest said it will use the funding to expand its capabilities to meet the growing demand from communities across North America seeking sustainable, economical solutions for managing their organic materials. “The significant investor interest Harvest has received is the result of our dynamic partnerships, innovative approaches, and proven ability to build the first nationwide organics management company,” said Paul Sellew, CEO of Harvest. “By integrating organics recycling, renewable energy, and the production of soils, mulches, and natural fertilizers, Harvest has shown that we are a leader in a new kind of cleantech – one that lowers costs.” Harvest said it sold millions of bags of organic soils and mulches at retail in 2011, and is building the two largest food-waste-to-energy facilities in North America. Harvest’s vision is to find the highest and best use for the 500 million tons of organic materials produced in North America each year. The company operates facilities in the Mid-Atlantic and West Coast of the U.S., and in Ontario and British Columbia, Canada.

Spring Valley offers nutrient manager fertilizer

Midwest, News, News Briefs

Jackson, Wisc. — Spring Valley, a manufacturer of lawn care products, has launched the company’s first retail fertilizer that includes a nutrient manager and is aimed at the landscapers and other professionals. “It’s our first test market of the product, but we’re looking to expand into other retail outlets,” said Dave Wacker, sales manager for Spring Valley. The new product, called Spring Valley Weed & Feed, will be distributed to all Mills Fleet Farm stores across the state of Wisconsin. Wacker told Green Markets that most of the sales go through their distributors, but the end users are typically professional lawn care businesses. The product consists of 20 percent nitrogen and 5 percent potash, and is manufactured at the Spring Valley plant here. In a statement announcing the new product, CEO Bill Vogel reported, “We’ve researched this product for many years, conducting multi-year university and USDA testing to ensure that our first retail product not only gives users the best results, but ensures environmental responsibility – something that is hard to find in lawn care.” The product uses a nutrient manager called NutriSphere-N to prevent the loss of nitrogen in the soil. In addition, the company uses a Bio-Kote component in order to aid in fertilizer efficiency. “These technologies will ensure more nutrients will reach the plant, something that hasn’t been offered in retail products previously,” said Vogel. Spring Valley Weed & Feed fertilizer is available at Mills Fleet Farm stores across Wisconsin.

41 evacuated in ammonia tank incident

Ammonia, Midwest, News, News Briefs

St. Lucas, Iowa — Emergency responders got a break from the Good Friday holiday in evacuating 41 residents after two anhydrous ammonia tanks came loose from the truck that was pulling them and ended up rolling down a hill in a parking lot. “There were very few people at home because of the holiday,” Fayette County Sheriff Marty Fisher told Green Markets. Fisher said the residents on the north edge of the community were evacuated along with the entire downtown. St. Lucas and Waucoma fire departments responded, along with emergency management. A shelter and an incident center were set up in a church southeast of the incident. Rescue workers found that one of the two 1,000 gallon tanks broke off a valve while tumbling down a hill, but responders managed to close it off before any significant amount of ammonia was released. The second tank was transferred to a safe location and contained. No injuries were reported, and entrance back into the city limits was allowed a short while later. The accident remains under investigation, but the sheriff’s office said the pin must have popped out back a quarter mile down the roadway and the weight of the tank snapped the safety chain.

N2O rise linked to increased fertilizer use

California, News, News Briefs

Berkeley, Calif. — Scientists at University of California Berkeley are now saying that air samples from a Tasmania station show that increased fertilizer use over the past 50 years is responsible for a dramatic rise in nitrous oxide (N2O), which as a major greenhouse gas contributes to global warming. The new study, based on data from the Cape Grim Baseline Air Pollution Station located in remote northwestern Tasmania and reported in the April issue of the journal Nature Geoscience, uses nitrogen isotope data to identify what it called the unmistakable fingerprint of fertilizer use in archived air samples from Antarctica and Tasmania. The fertilizer industry responded that any such findings need to be balanced by the tremendous gains in efficiency, in which, for example, farmers in the U.S. are growing 87 percent more corn than in 1980 using four percent fewer nutrients. Through use of 4R nutrient stewardship similar efficiencies are being realized in developing agricultural systems around the world, according to The Fertilizer Institute (TFI). UC Berkley research principals insisted they are not trying to vilify fertilizer. “We can’t just stop using fertilizer,” stated study leader Kristie Boering, a professor of chemistry and earth and planetary science. “But we hope this study will contribute to changes in fertilizer use and agricultural practices that will help to mitigate the release of nitrous oxide into the atmosphere.” Boering explained that the study is the first to show empirically from the data at hand alone the nitrogen isotope ratio in the atmosphere and how it has changed over time, coinciding with increases in fertilizer use. The findings point to a rise of 20 percent in nitrous oxide levels since 1750, from below 270 parts per billion (ppb) to more than 320 ppb. The study identified a steep ramp-up in atmospheric nitrous oxide coinciding with the green revolution that increased dramatically in the 1960s, when inexpensive synthetic fertilizer and other developments boosted food production worldwide, feeding a burgeoning global population. In the meantime, TFI pointed out, N2O emissions in the U.S. have decreased since 1960, while global emissions since 1990 have increased slightly. On the positive side, many developing countries have lowered their N2O emissions in the period between 1990 and 2008.

Itronics 1Q fertilizer revenues off

News, News Briefs, Western

Reno — While Itronics Inc. said that Gold’n Gro fertilizer revenues for the first quarter 2012 were off 30 percent from the year-ago quarter, it said some $172,000 in fourth-quarter 2010 orders were carried into first quarter 2011, making the year-ago revenues appear larger. Without these sales, the 30 percent drop in revenues was really a 19 percent increase. First-quarter fertilizer revenues were $294,132, down from the year-ago $419,291. Company-wide, Itronics revenues were up in the first quarter, to $572,500 from the year-ago $511,382. This was due to the company’s silver division, where revenues soared 226 percent, to $231,272 from the year-ago $70,962.

Compass points to lower deicing sales

News, News Briefs

Overland Park, Kan. — Compass Minerals, which is in both the specialty fertilizer and salt business, reported that minerals sold into the deicing business were off 27 percent for the first quarter ending March 31, 2012, to 3.1 million tons from the year-ago 4.28 million tons. Highway deicing sales include all highway maintenance products sold in the U.S., Canada, and the U.K., as well as rock salt sold to the chemical industry. Compass noted that according to the U.S. National Weather Service and Environment Canada, there were 73 snow events in 11 representative cities in the company’s primary North American highway deicing service area, compared to 153 events in the same cities in the first quarter of 2011, and a 10-year average of 115.5 events. For the full winter season, which includes the calendar fourth quarter of 2011 and the calendar first quarter of 2012, there were 89 snow events in the 11 representative cities, compared to a 10-year average of 161.9 snow events in those same cities. “While there were fewer snow events in our primary service area this season than we’ve seen in at least 15 years, Compass Minerals has decades of experience managing the effects of winter weather variability on our business. However, lower demand for highway deicing salt increases the proportion of lower-value sales to chemical producers, which can have an impact on our financial results,” explained Angelo Brisimitzakis, Compass Minerals president and CEO. Compass will release its first-quarter financial results after the close of the markets April 26.

Mosaic increases dividend

News, News Briefs

Plymouth, Minn. — The Mosaic Co. announced April 12 that its board of directors declared a quarterly dividend of $0.125 per share on the company’s common stock. The dividend will be paid on May 17, 2012, to stockholders of record as of the close of business on May 3, 2012. The $0.125 per share dividend represents a 150 percent increase over the company’s previous dividend.

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