Verdesian Life Sciences, Cary, N.C. reports that it is expanding its team to include Jake Underwood as executive vice president of nutritionals and John “Sam” Wilson, Ph.D., as vice president of technology development.
Underwood will report to Chief Operating Officer Greg Thompson. Most recently, Underwood was Agrium Inc.’s Crop Production Services’ general manager of ag retail for Indiana. He has also worked for J.R. Simplot Co., United Agri Products, and Loveland Products Inc. He has a B.S. in Agricultural Business from Oregon State University.
Wilson has over 30 years of experience and was most recently global field development manager for FMC, where he managed new product development and led research for more than 250 trials around the world. He has also worked for United Agri Products, Zeneca AG Products, and Monsanto. Verdesian says that over his career, he has played a key role in bringing 52 new products to market and will work directly in collaboration with CEO J.J. Grow to expand the Verdesian product portfolio. Wilson earned B.S. and M.S. degrees from North Carolina State University and received his doctorate from Virginia Polytechnic Institute and State University.
LSB Industries Inc. has announced that Richard Sanders, currently a director on the company’s board, has been named interim executive vice president, chemical manufacturing, effective Sept. 29. He will oversee all plant operations and will report to Daniel Greenwell, interim CEO.
With Sanders’ appointment, LSB has suspended its previously announced search for a president of the Chemical business.
“Richard is recognized as a leading expert on nitrogen manufacturing and an outstanding addition to our executive management team,” said Greenwell. “He has a proven track record of success with world-class nitrogen manufacturing operations, including the management of major facility expansion projects. We are confident that his extensive experience will prove instrumental in our efforts to improve the reliability and profitability of our chemical facilities.”
Additionally, LSB announced the resignations of David Goss, executive vice president of operations, and Michael Tepper, senior vice president of LSB International Operations.
Sanders has been a director of the LSB board since 2014. He is a nitrogen fertilizer manufacturing consultant and previously served as vice president of manufacturing of Terra Industries Inc. from 2003 until the acquisition of Terra by CF Industries Holdings Inc. in 2010. On completion of the transaction, he worked on the integration of manufacturing operations.
At Terra, Sanders was responsible for the company’s six nitrogen manufacturing facilities’ overall operations, including production operations, environmental health and safety, project engineering, and technical services. He was also responsible for Terra’s annual capital investment program, including major expansion projects.
Sanders was plant manager of Terra’s Verdigris, Okla., nitrogen manufacturing complex for nine years prior to his role as vice president of manufacturing. Prior to Terra, he served as plant manager at the Beaumont Methanol Corp. manufacturing facility and in management and engineering positions for Agrico Chemical Co. He received a B.S. in Chemical Engineering from Louisiana State University.
Interim CEO Greenwell is also a former Terra executive.
Atlantic: Hurricane Joaquin, located near the Bahamas on Sept. 30, grew to a Category 4 storm on Oct. 1. Forecasts called for Joaquin to turn northward and skim the Eastern U.S. before making landfall between North Carolina and New Jersey on Oct. 4. Wind and flooding were predicted for wherever Joaquin makes landfall.
The NHC was also monitoring an area of potential development in the Central Atlantic last week. Forecasts gave the system a 60 percent chance of further development, but models predicted the storm would remain over open water.
U.S. Gulf: Travel through Algiers Lock was put at 2-4 hours for the week as vessels continue to detour through the West Canal while work is underway at Bayou Sorrel Lock. Shippers have staged barges in the canal to speed transit, and were stationing vessels throughout the area to speed locking operations.
Bayou Sorrel Lock is offline through Nov. 15 for dewatering, repairs, and maintenance. Industrial Lock delays were reported at 8-10 hours for the week with seven boats reported in the queue, and Port Allen Lock transit times were put at approximately one hour.
Declining river levels at Baton Rouge extended a Low Water Safety Advisory for Miles 167-303 for another week. The advisory is projected to remain in place until Baton Rouge levels rise above the 12-foot mark. The Baton Rouge river gauge read 9.0 feet and falling on Oct. 1, while New Orleans showed 3.9 feet and holding.
Dolphin construction continued on the east side of Calcasieu Lock, causing intermittent daytime backups for Monday-through-Friday navigation. Additionally, westbound vessels were restricted to singlewide tows until work concludes on Oct. 16.
Lower Mississippi River: Low water on the Lower Mississippi River affected transit again last week, shippers reported. Diminished rainfall totals have left the river gauge at Memphis firmly in the negatives in recent weeks, with river depths showing (-)1.5 feet on Oct. 1. Forecasts expected the gauge to hit (-)1.7 feet on Oct. 2.
Dredging operations were underway at Miles 482-485, and shippers warned of potential unscheduled channel closures. The Corps anticipated operations would continue through Oct. 7.
Mile 914 revetment scheduled for Sept. 27 through Oct. 2 and Oct. 5-7 could affect transit, sources said, with traffic potentially limited to single-direction travel at times.
Weir dike construction and mat-laying operations were scheduled for Mile 418 on Nov. 7-17, with intermittent daytime delays expected.
Upper Mississippi River: Shippers put Lock 27 wait times at 2-4 hours for the week, with four boats in the queue. No waiting was reported at Lock 20. The Lock 27 auxiliary chamber was offline between 8:00 a.m. and 4:00 p.m. on Sept. 29-30.
Northbound barges leaving from New Orleans and destined for ports between McGregor, Iowa, and Minneapolis, Minn., were advised to depart no later than Sept. 28 to avoid winter demurrage. Boats headed for Quincy, Ill., through McGregor have through Oct. 5.
Southbound departures leaving from Minneapolis and St. Paul, Minn., are scheduled to run through Nov. 14, and through Nov. 23 for southbound vessels out of McGregor.
Seasonal Lock closures begin on Dec. 7 with Lock 9, followed by Locks 14 and 17 on Dec. 14. Locks 13 and 21 are scheduled to close on Jan. 4, 2016.
Illinois River: Operations returned to normal at Lockport Lock last week after dangerous flows limited lockings to two barges the week before. Lockport is scheduled to shut down Oct. 6-7.
Dresden Island Lock will go offline during morning hours on Oct. 6, and Brandon Road Lock will be closed on Oct. 20-22 between 10:00 a.m. and 4:00 p.m.
Grain Futures: As of 4:00 p.m. on Oct. 1, corn, soybean, and wheat futures were all higher compared to the week before.
Corn for December 2015 was $3.8875/bushel, up from $3.815/bushel the week before. The March 2016 corn price firmed to $3.9975/bushel from the prior week’s $3.9275/bushel, while trading of December 2016 corn contracts checked in at $4.1075/bushel, up from $4.045/bushel the week before.
The November 2015 soybean price was $8.7725/bushel, up from $8.68/bushel the week before, while soybeans for January 2016 firmed to $8.8075/bushel from the previous week’s $8.725/bushel. Soybeans for November 2016 were posted at $8.835/bushel, up from $8.755/bushel at last report.
Wheat for December 2015 was $5.1825/bushel, up from the prior week’s $4.9725/bushel. July 2016 wheat firmed to $5.2975/bushel from $5.12/bushel at last report, while July 2017 wheat contracts traded at $5.3825/bushel, up from $5.255/bushel the week before.
Eastern Cornbelt: Ideal weather conditions allowed growers in the Eastern Cornbelt to move rapidly on the corn and soybean harvests in late September.
The Illinois corn harvest jumped to 30 percent complete by Sept. 27, up 17 percentage points from the previous week, while progress in Indiana and Ohio also surged ahead to 18 percent and 10 percent complete, respectively. The region’s soybean harvest advanced to 23-25 percent complete by Sept. 27, up a full 20 percent from the week before.
Crop conditions were generally unchanged, with good or excellent ratings assigned to 55 percent of Illinois’ corn and soybean acreage last week, compared with 47-49 percent in Indiana and Ohio.
Winter wheat planting was also advancing rapidly in the region, with progress rated at 35 percent complete in Illinois and 12-13 percent in Indiana and Ohio by Sept. 27.
Western Cornbelt: Although a series of storms produced scattered rainfall in Iowa early in the week, much of the Western Cornbelt enjoyed ideal harvest conditions as September transitioned to October.
The corn harvest jumped to 46 percent complete in Missouri by Sept. 27, with Iowa and Nebraska trailing at 5 percent and 10 percent, respectively. The soybean harvest was 13 percent complete in Nebraska by that date, compared with 7-8 percent in Iowa and Missouri.
USDA assigned good or excellent ratings to 74-80 percent of the corn and soybeans in Iowa and Nebraska last week, with Nebraska’ sorghum crop also rated at 74 percent good or excellent. Missouri’s crop quality continued to show signs of weather stress, however, with good or excellent ratings assigned to 36 percent of the state’s soybeans, 42 percent of the cotton, 48 percent of the rice, 47 percent of the sorghum, and 54 percent of the corn.
California: Although exceptional drought conditions continued to grip most of central California, mid-September rains helped ease drought pressure in the state’s southern areas. Significant rainfall was supplied by former Hurricane Linda on Sept. 15, with southern coastal areas collecting the heaviest totals.
California growers had 35 percent of the rice harvested by Sept. 27, and cotton ratings in the state continued to place fully 90 percent of the acreage in the good or excellent categories last week.
Pacific Northwest: Warm, dry weather in late September allowed growers to move rapidly on a number of field activities in the Pacific Northwest, including winter wheat planting and the harvest of a range of vegetable crops.
USDA reported that fully 69 percent of the Montana winter wheat crop was seeded by Sept. 27, compared with 59 percent in Washington, 35 percent in Idaho, and 21 percent in Oregon. The regional potato harvest had progress
Tampa: Ongoing international market softness continued to depress domestic sentiment heading into the fourth quarter, sources said.
With negotiations for the fourth-quarter contract price of molten sulfur delivered to Tampa reported to be partially underway on Oct. 1, dropping prices worldwide caused many market watchers to predict a decrease of $20-$25/lt from third-quarter levels of $137/lt.
A number of sources specifically cited the plummeting Tasweeq prill price as informing their estimate. Qatar decreased October offers by $30/mt from its $133/mt FOB September price. Tasweeq’s adjustment came as the Chinese spot market crashed through support at $130/mt CFR to post numbers in the mid-$120s/mt CFR.
Heavy rains at Chevron’s Pascagoula, Miss., refinery were blamed for a chemical leak last week. Rains caused the lid on a 4-million-gallon liquid petroleum distillate tank to collapse, releasing fumes and possibly liquid. Both EPA and the U.S. Coast Guard were reportedly onsite monitoring the situation on Sept. 29.
Refinery utilization dropped for a second consecutive week, according to the U.S Energy Information Administration (EIA). Domestic capacity was pegged at 89.8 percent for the week ending Sept. 25, a decline of 1.1 percent from the prior week’s 90.9 percent, but even with the year-ago 89.8 percent and ahead of the five-year average of 88.9 percent.
Daily crude inputs also fell, registering an average 15.962 million barrels/d for the week, down by 241,000 barrels/d from the previous week’s 16.203 million barrels/d.
U.S. Gulf: Prill sold from the Gulf Coast was called $110-$115/mt FOB, down from $115-$120/mt FOB at last report.
Vancouver: Pricing on the Vancouver spot market continued to slip last week as Chinese sulfur prices fell into the $120s/mt CFR.
Market watchers quoted fresh Vancouver cargoes at $110/mt FOB. A number of traders were reported to have re-entered the market believing China had found a floor around $130/mt CFR, but persistent Chinese bids in the $120s/mt succeeded in dragging prices lower.
Despite the falling values, sources said Chinese demand remains strong. “China’s demand thus far for the year is up 12 percent from last year,” one contact said. “Offshore prices are down as a result of currency exchange rates (rather than) driven by demand.”
Alberta sulfur producer netbacks were cited in the $15-$85/mt range, but observers expect those numbers to fall quickly once a fourth-quarter Tampa settlement is reached. “(Alberta sulfur) prices will obviously be headed down,” one observer said.
West Coast: The West Coast sulfur market trailed Vancouver lower last week, falling to a range of $105-$110/mt FOB.
California molten contracts fell to $75-$125/lt FOB for the third quarter. An updated fourth-quarter price is expected soon.
ExxonMobil Corp. announced Sept. 30 that it has agreed to sell its beleaguered Torrance, Calif., refinery to New Jersey-based refining group PBF Energy. The $537.5 million deal is expected to conclude after repairs are completed in second-quarter 2016.
The sale follows a February explosion that injured four workers. ExxonMobil received 19 Cal/OSHA citations and was fined $566,600 for the blast. Sources estimate the facility is currently operating at or below 20 percent of its 155,000 barrel/d capacity.
ADNOC: ADNOC sulfur remained at $135/mt FOB Ruwais for the month of September. International market weakness was expected to push that number significantly lower for October.
Aramco: Saudi Aramco’s October price for prilled sulfur was $123/mt FOB Jubail, $27/mt below the September rate of $150/mt FO
U.S. Gulf: NOLA potash barges remained under pressure last week, with new trades put in the $280-$285/st FOB range. Others predicted lower. Trammo now has BPC product in NOLA to sell.
Eastern Cornbelt: The Eastern Cornbelt potash market remained flat at $330-$340/st FOB most regional warehouses.
Western Cornbelt: Potash pricing in the Western Cornbelt was reported in a broad range at $320-$340/st FOB regional warehouses, with the low reported out of spot river locations and the upper end out of inland terminals.
California: California potash pricing was down some $8-$10/st from last report, with the market pegged at $464-$470/st FOB warehouses and $475-$485/st DEL in the state, depending on grade and location.
Crystalline potassium nitrate was unchanged at $950/st FOB for bulk and $1,020/st FOB for bags.
Sulfate of potash (SOP) was steady at $722-$735/st FOB in California.
Pacific Northwest: Potash remained at a nominal $410-$420/st FOB in the Pacific Northwest, depending on grade and location, with rail-delivered tons quoted at $415-$425/st. Potash pricing FOB Utah mines was steady at $360/st FOB for 60 percent standard and $365/st FOB for 60 percent granular.
The sulfate of potash (SOP) market was unchanged at $727-$737/st FOB in the Pacific Northwest.
SOP Magnesia pricing was up $20/st as of Oct. 1, to $463-$483/st FOB in the region.
Western Canada: Potash was steady at $470-$480/mt FOB regional warehouses in Western Canada, with the Saskatchewan mine price quoted at $445-$450/mt FOB to Canadian customers.
Brazil: Sources report that sellers remain reluctant to conclude potash deals amid a further weakening in the real. Already the worst performer of any major currency this year, the real dipped below R$4 to the dollar this week, another record low since its introduction in 1994.
Sources quoted Brazilian delivered prices for granular potash lower at $300-$305/mt CFR, with buyers’ ideas as low as $290/mt CFR and earlier reports of unconfirmed deals at $300/mt CFR.
Southeast Asia: Potash buying sentiment remains weak across the region’s import markets as ongoing currency woes take their toll on demand.
In Indonesia and Malaysia, plantation buyers have yet to enter the market with new tenders. The Malaysian ringgit and Indonesian rupiah revisited 17-year lows against the U.S. dollar last week. Until last month’s rally, palm oil prices were also heading south, further curtailing potash buying interest.
In the absence of any new potash sales reported across the Southeast region, the price range for standard material remains at $300-$320/mt CFR. Sources say these price levels are purely indicative, however with buyers’ ideas reported at around $290/mt CFR in those markets.
Central Florida: Truck-loaded DAP offered on the Central Florida market was unchanged at $430/st FOB. MAP was listed at a $20/st premium to DAP.
U.S. Gulf: Sources reported a largely uneventful NOLA barge market last week.
Traders were generally bearish on the market’s fourth-quarter prospects coming out of the TFI World Conference in Boston, but limited supply kept nearby pricing relatively static compared to the previous trading period. Few deals were completed, although market players disclosed a small number of DAP transactions priced in a range of $420-$426/st FOB.
Domestic DAP sales were responsible for the range’s upper end, while Chinese imports accounted for the bulk of the rest. Several sources described delivered prices of domestic and imported material as nearly identical, with imports’ larger non-contract freight pricing responsible for deflating net values.
“The low DAP numbers are for Chinese material with spot freight,” one sources said. Another trader claimed some import offers computed to a higher total price than competing domestic offers when unpredictable spot freight rates were factored in.
Nearby supply was an issue for the week. “Prompt availability of product is low, but by the end of this week, tons of product will be available from multiple sources,” said one source.
First among expected deliveries were a pair of Chinese vessels rumored to carry cargoes of both DAP and MAP. One vessel was in the process of discharging in the NOLA area on Oct. 1, sources said, while the other was slated to enter the Panama Canal on or around Oct. 4 en route to the Gulf of Mexico.
The status of the cargoes was actively debated in the market. Asked one trader, “Who’s going to take them? Are (the sellers) going to consign? Are they sold already?”
Possible deliveries slated for imminent arrival included a cargo of Moroccan product, as well as an additional unnamed vessel sources described as unconfirmed as of Oct. 1.
The NOLA DAP market was called $420-$426/st FOB, down slightly from the previous week’s range of $420-$427/st FOB. Market players put MAP in a range of $430-$433/st FOB, down from $430-$435/st FOB at last report.
DAP paper was called $415-$420/st FOB for October, and $390-$400/st FOB for November and December.
Eastern Cornbelt: DAP pricing remained at $455-$465/st FOB regional warehouses in the Eastern Cornbelt, with MAP $10/st higher than DAP.
10-34-0 was quoted at $530/st FOB in the Eastern Cornbelt.
Agrium’s phosphoric acid postings firmed $10/st of P2O5 on Oct. 1, with rail-DEL SPA and MGA prices moving to $1,040/st in Wisconsin and $1,080/st in Michigan.
Western Cornbelt: DAP was steady at $455-$465/st FOB in the Western Cornbelt, with MAP quoted in the $465-$475/st FOB range.
The 10-34-0 market remained at $525-$535/st FOB for limited tons in the region.
Effective Oct. 1, Agrium’s phosphoric acid postings firmed $10/st of P2O5 from September pricing levels, moving to $1,040/st for rail-DEL SPA and MGA in Nebraska, Missouri, Iowa, and Minnesota, and $1,055/st rail-DEL in the Dakotas.
California: MAP was quoted at $545-$555/st FOB or rail-DEL in California, reflecting a slight drop from last report. The 16-20-0 market was unchanged at $408-$415/st rail-DEL or FOB in the state, with TSP (0-45-0) tagged at $525/st FOB French Camp.
Simplot’s postings for phosphoric acid moved up $0.15/unit on Oct. 1, to $10.55/unit rail-DEL in California for both SPA and MGA, with MGA also referenced at the $10.75/unit level FOB Lathrop. Also effective Oct. 1, Agrium’s phos acid postings firmed $10/st from September pricing
Eastern Cornbelt: Granular ammonium sulfate was pegged at $275-$280/st FOB and $285-$290/st rail-DEL in the Eastern Cornbelt.
The ammonium thiosulfate market was unchanged at $310-$330/st FOB in the region.
Western Cornbelt: Granular ammonium sulfate was quoted at $265-$280/st FOB in the Western Cornbelt, with the low in Missouri and the upper end reported in Iowa.
Ammonium thiosulfate was unchanged at $310-$325/st FOB in the region.
California: Ammonium sulfate remained in a broad range at $270-$325/st FOB in California, depending on grade, location, and supplier, with the low for standard grade and the upper end reflecting Simplot’s premium grade posting FOB El Centro. The Lathrop ammonium sulfate market was unchanged at $285-$290/st FOB in late September.
Ammonium thiosulfate was unchanged at $275-$300/st FOB in the state, with the low quoted for 11-0-0-24 FOB Stockton.
Pacific Northwest: Ammonium sulfate was quoted at $310/st FOB and $302-$320/st DEL in the Pacific Northwest, with the low end of the delivered range for Chinese tons and the upper end for granular and/or premium grade domestic product.
IRM’s postings for standard grade ammonium sulfate were steady at $228/st FOB and $238/st DEL in the region.
Ammonium thiosulfate was unchanged at $320-$325/st FOB in the region.
Western Canada: The granular ammonium sulfate market remained at $400-$410/mt DEL in Western Canada.
Disclaimer of Warranty
All information has been obtained by Green Markets from sources believed to be reliable. However, because of the possibility of human or mechanical error by our sources, Green Markets or others, Green Markets does not guarantee the accuracy, adequacy, or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information.
