Vancouver — Encanto Potash Corp. said Jan. 14 that it has been advised that India’s Rashtriya Chemicals and Fertilizers Ltd. (RCF) announced on the Indian government’s website a tender process aimed at selecting an advisor to review and advise on an off-take agreement proposal with Encanto for 2 million mt of potash purchases by a consortium led by RCF. The announced tender process is believed to be part of the Indian government’s regulatory requirements to have an independent third-party advisor review the proposed off-take agreement. Although Encanto has had ongoing negotiations with RCF and members of the consortium, no agreement has been reached or executed, and there is no assurance an agreement will be reached or executed. Encanto’s flagship investment in Saskatchewan is a joint venture with the Muskowekwan First Nations for a combined acreage of 58,300 acres. Encanto has 100 percent interest in two additional potash properties in Saskatchewan: the 55,000 acre Ochapowace/Chacachas property, and the 91,550 acre Spar property.
Piqua, Ohio — TruPointe Cooperative Inc., a member-owned regional co-op that serves growers in northeastern Indiana and west-central Ohio, has announced plans to build a $30 million fertilizer and grain facility near Milford, Ind. The location, north of Milford in an area known as Milford Junction, was selected because of its proximity to other TruPointe facilities and access to two main rail lines that intersect in northern Kosciusko County. The company has purchased acreage near the rail intersection, and plans to begin construction in early 2013. County officials have voted to recommend rezoning the area from agricultural to heavy industrial. The first phase of construction will be a full-service agronomy hub with storage for both dry and liquid fertilizer, plus bulk seed storage, which is slated to be operational by spring 2014. The co-op plans to build a 4.5 million bushel grain elevator during the second phase of construction, with completion scheduled for 2015. TruPointe also plans to build a loop track for rail service to the site, and infrastructure improvements have already been approved that will widen and extend local roads accessing the plant. The facility will serve producers in a 60-mile radius, and have a workforce of approximately 35 employees. TruPointe currently operates 50 locations throughout 29 counties in Indiana and Ohio, and has more than 500 employees. The company’s agronomy division handles bulk dry fertilizers, custom anhydrous and UAN-28 applications, crop protection products, seed treatments and inoculants, and precision agriculture services out of some 22 locations in Ohio and Ind. TruPointe also operates grain, energy, turf, and feed divisions, and numerous home and farm supply stores.
Houston — IHI E&C International Corp., a unit of Japan’s IHI Corp., said Jan. 17, that it has been selected by Dakota Gasification Co., a wholly-owned subsidiary of Basin Electric Power Cooperative of Bismarck, N.D., to perform a Front-End Engineering Design (FEED) study for a 1,100 – 2,200 st/d urea plant at its facility near Beulah, N.D. Gary Loop , senior vice president and chief operating officer at DGC, said this project is part of an ongoing philosophy of developing and marketing co-products from the gasification process as a hedge against the volatility of natural gas prices. "Developing urea is another aspect of continuing this philosophy," he said. "Our forecasts show there’s an increasing demand for the use of urea by farmers in the region, and we can easily add urea to our list of co-products that benefits the agricultural community." IHI E&C President Glyn Rodgers said, "We are extremely pleased with this urea project award and look forward to working again with Dakota Gasification Company. This project award reinforces our emphasis on delivering a quality product." Dakota Gas currently owns and operates a coal gasification facility at the same location where ammonia and carbon dioxide – raw materials for urea – are produced, in addition to other products. The FEED phase of the project will start immediately, and is expected to be completed by the second quarter of 2013.
Tampa — The Mosaic Co. has changed the company it uses to provide transportation for most of its sulfur, phosphoric acid, and finished phosphate products after issuing a request for proposals a few months ago, according to David Townsend, Mosaic spokesman. The contract had been held by CTL Transport of Mulberry, Fla., which lost out to Dillion Transport on its bid to continue the service. Previously, Dillion was hauling primarily sulfuric acid for the company, but will assume the tasks previously conducted by CTL. Townsend said price was a consideration, but was not the determining factor in the decision. The new contract takes effect on March 1.
Tel Aviv — Israel Corp. has informed the Beer Sheba District Labor Court that no contacts or negotiations are currently underway with Potash Corp. of Saskatchewan Inc. for the merger of Israel Chemicals Ltd. (ICL) and the Canadian company. Israel Corp., which holds a majority stake in ICL, said in a response to the court that PotashCorp had contacted the Israeli government on the matter, but that Israel Corp. had not been contacted. The response followed a demand by the Dead Sea Works union to receive an update on the contacts for the proposed merger. The union, along with those of other ICL subsidiaries, launched a campaign against the proposed merger and declared a work dispute in an effort to prevent it from going ahead. The matter was taken before the Beer Sheba District Labor Court in an effort to prevent the workers from imposing any sanctions. The state is also expected to give its response to the court. Meanwhile, the union has hired a public relations firm to help in its campaign against the proposed merger. The issue is likely to heat up in the coming weeks after the Israeli elections on Jan. 22. The new government will have to deal with the issue and take a position. Union representatives met earlier this month with Israeli Prime Minister Benjamin Netanyahu to make clear their opposition to the sale of ICL to PotashCorp.
Soda Springs, Idaho — A freight train hauling elemental phosphorus from Monsanto’s plant near Soda Springs, Idaho, derailed at about 11 a.m. Monday, Jan. 14, temporarily blocking heavily traveled Idaho Highway 34, which runs between Soda Springs and Afton, Wyo., and past Agrium Inc.’s nearby Conda phosphate fertilizer complex. A light-duty locomotive engine and seven tank cars jumped the track intersecting Highway 34 near the Monsanto plant’s east entrance, but no one was injured and no contents were released from the cars, company officials said. The engine and two cars completely blocked both lanes of Highway 34. There were no evacuations. Plant crews worked in bitterly cold temperatures and thick snow with the assistance of two large cranes to get the engine and all of the cars back on track. By 6 p.m., the section of Highway 34 between Evergreen Lane and China Hat Road north of the local airport was reopened. A full investigation into the accident’s cause and possible preventive measures is under way, Monsanto Public and Government Affairs Director Trent Clark said. Ice buildup on the rails is suspected as a possible cause. Plant Manager Sheldon Alver said Monsanto was thankful for the rapid response and ongoing assistance provided by local law enforcement and county road crews. Caribou County deputies, as well as Idaho Transportation Department and Union Pacific Railroad personnel, were at the scene. “Their rapid deployment of traffic routing and detour signage helped us to focus on returning the cars to the railroad track as quickly as possible,” Alver said. “The safety and efficiency with which the response occurred can be largely credited to this very supportive partnership with our local government neighbors.” Ore from Monsanto’s open-pit mining operations in phosphate-rich Caribou County is brought to the three-furnace plant about a mile-and-a-half north of Soda Springs by triple trailer trucks from a haul road. The rail cars that derailed are used to ship phosphorus to Monsanto customers. County road crews rushed snow removal equipment to Meadowville Road – an alternate access route north of the Monsanto plant, which is not plowed during the winter – so traffic could be detoured around the derailment. Several large semi trucks, however, were forced to wait hours for Highway 34 to reopen.
Garretson, S.D. — Parent company CHS Inc. isn’t saying at this point what caused the explosion of a liquid nitrogen fertilizer tank at Eastern Farmers Co-op here Friday afternoon, Jan. 11, that blew off the lid during welding and sent up flames and a rumble that was felt throughout the community. There were no injuries, although two welders were working on the tank containing 28 percent nitrogen, and several co-op workers were nearby. Diners at a restaurant across the street said hanging lights swayed as the explosion shook the entire building. Zach Weiland, safety supervisor at the plant, was reluctant to provide any details while he awaited arrival of investigators from CHS headquarters. He was not sure how much liquid fertilizer was in the tank at the time. Ryan Longhenry, chief of the Garretson Fire Department, said he believed there was contamination in the tank, because the liquid nitrogen should not have been flammable on its own. He was only two blocks away when the explosion occurred. “Two welders were working on the side of the tank from a boom truck. One of the welders was in the bucket and one was on the ground. There was definitely an explosion, which blew off the top portion of the tank, which landed about 50 yards away from the base of the tank.” Parent company CHS provided this statement from St. Paul, Minn.: “At approximately 4 p.m. on Friday, Jan. 11, 2013, the Garretson location of Eastern Farmers Cooperative experienced an explosion and fire involving a liquid fertilizer tank that was undergoing maintenance by a welder from a private contractor. The Garretson Fire Department responded promptly and extinguished the fire within a few minutes. There were no injuries, no spills, and no risks to the surrounding community. Eastern Farmers is committed to safety in all of its operations and will conduct a full investigation to determine the cause of the incident.” At week’s end, CHS spokeswoman Annette Degnan said no cause had been established as yet, and the accident is still under investigation.
Baton Rouge — An anhydrous ammonia leak at Reddy Ice Facility that was detected and reported by a pastor who lives nearby caused fire department officials to evacuate a two-block radius Thursday, Jan. 10, including 26 children at St. Francis Xavier Catholic School day care center. Fire department spokesman Curt Monte said it took the hazmat team about an hour to find the source of the leak – a valve stem on an ammonia tank – and close it. “No one really knew how much ammonia leaked from the tank during that time,” he said. “We evacuated the school and the church next door. Two homes across the street were also evacuated. We also sent out a notice to the media and contacted parents to pick their kids up from the school where they were taken.” Although no injuries were reported from the incident and the area was declared safe just after 9 p.m., firefighters told residents to stay in their houses during the cleanup process. Local residents have already filed lawsuits over the incident, according to the local press, citing the lack of notification by the company and safety concerns.
Toronto — IC Potash said Jan. 16 that in support of its 100 percent-owned Polyhalite Ochoa Project in southeastern New Mexico, it has secured an additional 1,914 acres of land in Lea County from the New Mexico State Land Office, increasing its total state lease and federal permit holdings in the region to approximately 101,500 acres spanning 158.6 square miles. "Based on findings of our original drilling program, the additional land granted by the State has been determined to be strategically important for our Ochoa Project, as it holds prospective mineralization that could expand Ochoa’s already significant resource base of Polyhalite,” said IC Potash President and CEO Sidney Himmel. “In addition, this new lease also covers land located approximately 1,500 feet from the planned mine shaft and ramp bottom (the location of which was designated by the Bureau of Land Management after the initial state leases were granted), making it available for mining in the early production phase of the near century-long mine life.” The project is in the Pecos Valley section of the southern Great Plains physiographic province, approximately 60 miles east of Carlsbad, and less than 20 miles west of the Texas-New Mexico state line. The overall project development plan provides for completion of the feasibility study by the end of August 2013, final environmental permitting by the end of March 2014, and the commencement of construction of the mine and processing facility shortly thereafter. With over 100 full-time employees and consultants currently engaged in the project, it is expected that up to 1,000 new construction jobs, at peak construction activity, will be created, and approximately 400 additional new permanent employees will be hired to support commercial operations once construction is completed. The company intends to become a primary producer of Sulfate of Potash and Sulfate of Potash Magnesia. It says the deposit contains proven and probable reserves of more than 340 million tons of ore within the proposed mine plan.
Singapore — Shell Sulphur Solutions and Sinofert Holdings Limited, one of China’s largest manufacturers and retailers of fertilizers, have signed a license agreement for Sinofert to produce phosphate-based fertilizers such as DAP and MAP incorporating Shell Thiogro™ technology. “We are delighted that a company such as Sinofert endorses our Shell Thiogro technologies and will bring it into the hands of farmers across China. I look forward to continuing our partnership for a long time to come,” said Carlos Maurer, Shell Sulphur Solution’s general manager of Sulphur, Product Development & Ventures. “This agreement with Shell is a great opportunity to bring the benefits of sulfur enhanced fertilizers, which increases crop yield and also protects crops against certain soil and plant pests, to many in the industry,” said Feng Zhibin, Sinofert CEO.
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