Anuvia, Smithfield Create Partnership; New Fertilizer Plant Expected Up 2019-20

Smithfield Foods Inc., Smithfield, Va., and Anuvia™ Plant Nutrients, Zellwood, Fla., on April 5 announced a new partnership to create sustainable fertilizer from renewable biological materials collected from manure treatment systems at Smithfield’s hog farms. This project is part of Smithfield Renewables, the company’s new platform dedicated to unifying and accelerating its carbon reduction and renewable energy efforts.

The project will reuse organic matter found in hog manure to create a commercial-grade fertilizer that is higher in nutrient concentration than the original organic materials. Because Anuvia’s products contain organic matter, nutrient release is more controlled, resulting in reduced greenhouse gas emissions and a smaller environmental footprint.

Anuvia will utilize remnant solids from Smithfield that accumulate over time at the bottom of the anaerobic lagoons, basins designed and certified to treat and store the manure on hog farms. Anuvia, which specializes in the transformation of organic materials into enhanced efficiency fertilizer products, will manufacture and sell these commercial-grade fertilizer products to farmers nationwide.

“Through Smithfield Renewables, we are aggressively pursuing opportunities to reduce our environmental footprint while creating value,” said Kraig Westerbeek, senior director of Smithfield Renewables. “Along with projects that transform biogas into renewable natural gas, this is another example of how we are tackling this goal on our hog farms.”

Smithfield, a $15 billion global food company, is the world’s largest pork processor and hog producer.

“This is the beginning of a partnership based on a shared vision that will positively impact livestock and crop production,” said Amy Yoder, Anuvia CEO. “Our proprietary manufacturing process which converts organic waste into novel bio-based plant nutrients is both environmentally friendly and sustainable. Our products reduce leaching and put organic matter back in the soil. Our process is a prototype for a circular economy, as we reclaim organic waste, convert, and reuse on cropland.

“This relationship provides a new sustainable way for Smithfield to return its remnant solids back to the land for use on the crops grown to feed the hogs. The impact of this is extremely significant for hog production and the livestock industry. We look forward to helping achieve both Smithfield’s and Anuvia’s environmental goals,” Yoder continued.

Company-owned and contract hog farms in North Carolina will participate in this project. Smithfield will collect and begin the process by de-watering the waste solids before providing the remnants to Anuvia. Once acquired, Anuvia will pick up and transport the material to their processing plant to create the fertilizer.

Anuvia, with an existing plant in Zellwood, Fla., is planning to build a new larger-scale plant to process the Smithfield material. The company said it was not at liberty to disclose the location, as negotiations are still underway. “Once we are ready for production in late 2019 or early 2020, Smithfield will provide us their organic material,” Yoder said in an interview. “In the meantime, we will be working with them on the analyses and the process at our current plant in Zellwood, so that by the time we’re ready with a new facility, we can move forward efficiently and quickly.”

Yoder said the new plant will be handling a minimum of 100,000 wet tons of hog waste a year. “This will translate to approximately 65,000 tons of product produced. We will blend other organic materials with the Smithfield organic materials to produce a minimum of 200,000 tons of fertilizer a year from our new production site. Once we are in production, we anticipate expanding our use of Smithfield organic materials beyond the 100,000 tons.”

Yoder said at this stage, Anuvia plans to dedicate the new facility to SymTRX for the agricultural market. It expects ag demand to consume the entire supply. Yoder noted the circular route of the process – fertilizer to corn, corn to hogs, and hog waste back to fertilizer. She said SymTRX will be marketed to hog producers as well as to the growers from whom Smithfield buys corn.

Going forward, Yoder said the company is looking to expand to other hog-producing regions. She said the company is having conversations with other feedstock providers, but cannot reveal more details at this time. She added that the company is also in discussions with companies outside of North America. “Other countries face the same issues. The U.S. is not alone in these concerns.”

While Anuvia has not revealed the location of the new fertilizer plant to serve Smithfield and it may be a simple coincidence, the Orangeburg County Council in South Carolina has been studying a proposed fertilizer plant by an unidentified company. It was on the Council agenda on April 2, and County Attorney Jerrod Anderson told the Council the company would invest $14.2 million and create 43 jobs over the next five years, according to the Orangeburg Times and Democrat.

The Council gave a second reading to an ordinance that would provide the company, labeled Project Oz, tax incentives to locate in the county. The county would provide a fee-in-lieu of taxes for a 30-year term, as well as special revenue credits. The company is eyeing a site in a joint county industrial park with Dorchester County.

Orangeburg County is situated directly in the middle of South Carolina. No other details about Project Oz were available.

Pursell Agri-Tech – Management Brief

Pursell Agri-Tech, Sylacauga, Ala., announced on April 5 that it has expanded its team with the addition of two key fertilizer-industry veterans, Keith Cochran and Tim Holt. Cochran joins Pursell as director of process engineering, and Holt will fill the role of director of research and development. The company said both will work closely with the entire Pursell Agri-Tech team to develop and deliver innovative solutions that provide industry-leading nutrient-use efficiency, improved crop yields, and productivity, while also protecting the environment.

Cochran has been in the fertilizer industry for 30 years at Applied Chemical Technology Inc. (ACT), Florence, Ala., where he was instrumental in developing many new fertilizer products. His last role at ACT was serving as process engineering director.

Holt brings 27 years of experience in the fertilizer industry, most recently serving as R&D manager at ACT, where he was responsible for the oversight of bench scale, pilot plant scale, and analytical activities associated with fertilizer process and product development.

“The level of success we achieve in the markets we serve will be tied directly to the quality of people on the Pursell Agri-Tech team,” said Nick Adamchak, Pursell president and CEO. “We’re delighted – and we consider ourselves fortunate – to bolster the Pursell team with two fertilizer industry veterans that are as accomplished as Keith and Tim. They will both play critical roles in expediting the development and commercialization of our more efficient, next-generation delivery systems for macronutrients and key micronutrients.”

Solvay to Cut 600 Jobs, Strengthen R&I

Advance materials and specialty chemicals company Solvay SA, Brussels, has launched a new step in its transformation process that will cut some 600 jobs, with most of those in back-office functions in France (160), Portugal (90), and Brazil (80). The company said natural turnover, voluntary leave, and internal repositioning will help mitigate the impact of the job cuts. Solvay has some 24,500 employees in 61 countries.

“This new step in Solvay’s transformation centers on better serving our customers,” said CEO Jean-Pierre Clamadieu. “Over the past six years we built a business portfolio to generate superior and sustainable growth. Now we need to follow through and drastically simplify our organization and processes, as well as align all our resources. This will allow Solvay to provide differentiated experiences for customers and maximize value for the group.”

Solvay is also planning stronger research and innovation (R&I) capabilities at Lyon in France and an expansion in Brussels. In Belgium, the expansion will coincide with plans to revamp the Brussels headquarters. Solvay plans to relocate all of its Aubervilliers functions and nearly all of its Paris activities in France to Lyon and to a lesser extent to Brussels, concentrating R&I into two centers. Some 500 employees would be transferred to Lyon and Brussels over four years.

An indication of the consequences of the transformation on Solvay’s financial performance over the next three years will be provided with Solvay’s earnings release for the first quarter.

Clamadieu is credited with Solvay’s build-up over the past five years, according to Bloomberg, which notes that he will be undertaking Solvay’s largest workforce reorganization as he leaves the company to become the chairman of French utility Engie SA in May. Among recent Solvay deals were the $6.9 billion acquisition of U.S. composites maker Cytec Industries in 2015, and this year’s divestment of a plastics business to BASF SE for $1.6 billion.

Fluor to Assist with Egyptian Phos Acid Plant

Fluor Corp., Irving, Texas, has been awarded the front-end engineering design (FEED) contract by Egypt’s state energy firm, Enppi, for the offsites and utilities portion of the main plant complex and support services for the Waphco phosphoric acid production plant at Abu Tartour, in the Egyptian province of New Valley. Fluor will book the undisclosed contract value in the first quarter of 2018.

Fluor said it will be working with Enppi as an integrated team and that the company will fast-track the FEED for the plant, which will use resources from the Abu Tartour mine to produce merchant-grade phosphoric acid. The project scope includes all process facilities, including a sulfuric acid plant, utilities with a cogeneration system, storage, and other required units. Once completed, the facility will produce 500,000 mt/y of wet process phosphoric acid.

Tractor Supply Opens 1,700th Store

Tractor Supply Co. (TSC), Brentwood, Tenn., the largest retail store chain of rural lifestyle products in the U.S., will hold a grand opening for its 1,700th store on April 7. The store is located in Mocksville, N.C.

“The opening of our 1,700th store is an important milestone that we are proud to reach during our 80th year of operations, as we continue to bring Tractor Supply closer to more customers who live the Out Here lifestyle,” said Greg Sandfort, TSC CEO. “Through our ONETractor strategy, we are combining our physical and digital assets into one seamless shopping experience that allows our customers to engage with us anytime, anywhere, and any way they choose. Whether it be in convenient store locations or online, each day we strive to provide our customers with relevant products and legendary service to support their lifestyle.”

TSC has stores in 49 states and an e-commerce site that allows buyers to order a long list of products, including fertilizer and other inputs, in sizes up to 50-pound bags online for pick up at one of its locations.

TSC opened 101 new stores in 2017, and plans 80 new stores in 2018.

Arianne Receives Grant from Quebec

Junior miner Arianne Phosphate, Saguenay, Quebec, a development-stage phosphate mining company advancing the Lac à Paul phosphate rock project in Quebec’s Saguenay-Lac-Saint-Jean region, said on April 3 that it has received a grant of C$1.5 million from Quebec’s Ministry of Energy and Natural Resources.

This funding was provided as part of the government’s plan to help advance the Quebec phosphate sector. Arianne will use this funding in support of its previously announced program to produce additional high-purity phosphate concentrate and to conduct further pilot-scale tests. This grant follows an equity investment by the province last month for $1.4 million (GM March 16, p. 30).

“Demand continues to grow on the part of potential customers,” said Jean-Sébastien David, Arianne chief operating officer. “Many of those interested have already received product samples and are now asking for even larger volumes to carry out large-scale tests in their own facilities. Further, legislative changes in Europe regarding cadmium content in phosphate entering the EU, and supply disruptions out of certain phosphate-producing regions, have continued to push new requests for Arianne’s concentrate.”

Sample testing will be conducted at COREM (Research Consortium for the Treatment and Processing of Mineral Substances) in Quebec City, where the company conducted its previous pilot-scale tests. Materials will be sent on to potential offtake partners.

Nutrien Rebrands Retail; Headquarters to Remain in Colorado

Nutrien Ltd., Saskatoon, announced on April 5 the launch of its newly branded retail business, Nutrien Ag Solutions™. The name Nutrien Ag Solutions™ will align the retail businesses across the globe.

“Our goal is to create a consistent global agriculture brand that represents value and productivity for our customers,” said Chuck Magro, Nutrien president and CEO. “As the leading provider of crop inputs, services, and solutions, Nutrien Ag Solutions™ will continue to work side by side with our grower customers to maximize crop production and their returns.”

The name change will apply to all offices and operating facilities in North and South America that hold the names Crop Production Services, Agroservicios Pampeanos, and Utilfertil. The official change to Nutrien Ag Solutions™ will begin on July 1, 2018.

The company’s Australian retail business, Landmark, will keep its name, but will be known as Landmark, a Nutrien business.

Retail’s headquarters will remain in Loveland, Colo.

“We’re extremely proud of the retail organization we’ve built,” said Mike Frank, president of Nutrien Retail. “To ensure we meet our grower customers’ evolving needs, we will continue to partner with key suppliers and to invest in best-in-class technology, platforms, and tools. We will have more news on our enhanced digital platform and other investments in the coming months.”

Fernie Picks Freon Over NH3 for Arena

The City of Fernie, B.C., which saw three maintenance workers killed at its Fernie Memorial Arena last year due to an ammonia leak (GM Oct. 27, 2017) has opted for Freon for its new refrigeration plant instead of ammonia. Startec Refrigeration Services Ltd., Calgary, will supply the product.

“Awarding this contract will be a major step towards ensuring the arena is open for the 2018/19 winter season,” said City of Fernie CAO Norm McInnis. “Staff received and carefully examined several proposals from different companies and recommended the system proposed by Startec to Council. Startec’s proposal to use synthetic refrigerant instead of ammonia was clearly the best fit for Fernie and the Memorial Arena.”

The contract, worth $882,820, is to construct a Freon ice plant. With a substantially lower global warming potential (GWP) than similar Freon refrigeration systems, this refrigerant is increasingly being used at ice rinks throughout Europe and North America, according to the City.

Work is scheduled to be complete by Aug. 1, with Startec training City staff to safely operate and maintain the equipment.

The investigations into last year’s incident at the arena are ongoing.

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