Eastern Cornbelt: Granular ammonium sulfate was unchanged at $385-$405/st FOB in the Eastern Cornbelt region, with the low in Illinois and the upper end in Indiana and Ohio on a spot basis.
The ammonium thiosulfate market remained at $350-$365/st FOB regional terminals.
Western Cornbelt: Granular ammonium sulfate remained at $375-$400/st FOB in the Western Cornbelt region. The ammonium thiosulfate market was quoted in a broad range at $325-$365/st FOB, depending on location.
Southern Plains: Granular ammonium sulfate was steady at $330-$365/st FOB in Texas, depending on location, with the low FOB Freeport and the upper end FOB Littlefield and Plainview.
Ammonium thiosulfate remained at $300-$310/st FOB in the Southern Plains region.
South Central: Granular ammonium sulfate pricing remained at $355-$360/st FOB most regional terminals. The ammonium thiosulfate market was steady as well at $335-$340/st FOB in the South Central region.
Southeast: Granular ammonium sulfate was quoted at $360-$370/st FOB Hopewell, Va. List prices from DSM included granular at $375/st FOB Augusta, Ga., $380/st DEL in the Carolinas, $390/st DEL in Georgia, and $395/st DEL in Florida. DSM’s standard grade postings included $230/st FOB Augusta and $270/st rail-DEL in Florida.
Sugar Land, Texas — New UAN production that came up at CVR Partner LP’s Coffeyville, Kan., nitrogen plant in late February helped boost earnings for the first quarter ending March 31, 2013. Net income was $35.6 million ($0.49 per diluted common unit) on net sales of $81.4 million, compared to the year-ago $30.2 million ($0.41 per unit) on sales of $78.3 million. Adjusted EBITDA was $43.8 million, up from the year-ago $38 million. UAN production was a record 196,200 st with an average realized price of $295/st, versus the year-ago 154,600 st ($313/st). Net ammonia tons available for sale during the first quarter were 30,700 st ($663/st), versus the year-ago 25,000 st ($613/st). CVR said that despite wet conditions in much of the Midwest, it still expects some 95 million acres of corn to be planted this spring. CVR has reaffirmed its 2013 full-year guidance of $2.15-$2.45 per unit in cash available for distribution to unitholders. This represents a 19-35 percent increase in distributions to the $1.81 paid for 2012. CVR on April 26 announced a record first-quarter 2013 distribution of $0.61 per unit.
Sioux Falls, S.D. — Minnehaha County officials have confirmed that a suit has been filed against the county for giving the go-ahead for a new $10 million agronomy center (GM Feb. 25, p. 9) to be built by Eastern Farmers Cooperative approximately three miles north of Colton. According to the state attorney’s office in Sioux Falls, Minnehaha County was served with a Notice of Appeal to Circuit Court by Doug and Louise Hanson challenging the decision of the county commission to grant Conditional Use Permit 1308. The Hansons are represented by Rick Ramstad, a Sioux Falls attorney. “All I can tell you is that a case has been filed against the county for issuing the conditional use permit,” County Planning Director Scott Anderson advised Green Markets. Anderson didn’t provide any additional information, saying that at this point the suit falls into the workload of the county’s state attorney, Aaron McGowan, noting that typically no one talks very much about these items when they are being litigated. Anderson didn’t say if he thought the fertilizer emergency that occurred last month in West, Texas, may have had something to do with the South Dakota legal action. Concerns about an accidental release have been raised by a number of residents, since the project would include the capability of handling as much as 30,000 gallons of anhydrous ammonia.
Balcarres, Sask. — It took help from the Royal Canadian Mounted Police (RCMP) to deal with a leak in a tank containing about 70 tons of anhydrous ammonia last Tuesday, April 30, at Blair’s Fertilizer, about three miles from the town of Balcarres. “We’ve contacted the correct authorities who know about the incident and can deal with the company. The tank is capped off and emptied to the best of my knowledge,” said Staff Sgt. Earl Nini. The RCMP evacuated some of the homes within a three-mile radius in the rural farm area. Fortunately, no one was hurt. “The incident is still under investigation, and the facts aren’t all in,” he added, saying that the local fire department and the fertilizer company were able to contain the leak. “We were there to ensure people were safe. We closed the main highway, and evacuated some of the houses near the facility,” said Nini. Highway 10 and other roads near the site were closed for a time, but reopened late Tuesday.
Ogden, Utah — Great Salt Lake Minerals Corp. (GSLM), a unit of Compass Minerals, is putting more emphasis on the environment in a revised plan submitted April 28 to expand its solar evaporation pond system at the Great Salt Lake to meet higher demand for its sulfate of potash (SOP) crop nutrients. GSLM officials said the new plan, which replaces the company’s 2009 expansion project, is the result of further study of the ecology of the lake, the company’s innovative technological advances, and direct discussions with environmental organizations. “We studied, we listened, we collaborated, and we changed our plan accordingly,” said Corey Milne, director of advanced manufacturing technology. “Today we are submitting a plan that will produce the crop nutrients that America’s food growers need, benefit Utah’s economy, and is sustainable for the lake’s ecology.” GSLM is the only American producer of SOP, and current capacity is considered insufficient to meet the projected needs of U.S. growers in coming decades. Along with operational efficiencies developed by the company, GSLM has advised the U.S. Army Corps of Engineers, the lead agency reviewing the project, along with other regulatory agencies and stakeholders, that key changes involve no new development in Bear River Bay – instead of 8,000 acres proposed earlier, there will be no new solar ponds in that area in order to preserve high avian values. The plan now calls for a maximum 52,000 acres of new solar evaporation ponds, or more than 40 percent fewer than the 91,000 acres requested in 2009. Most of the new ponds would be on the lake’s remote northwest side. Also, GSLM is withdrawing a request for 353,000 acre feet per year of water rights to help preserve lake levels. Unused minerals that remain from the solar evaporation process would be returned to the lake sooner to benefit salinity levels. The new project proposes building new solar evaporation ponds in stages. According to GSLM, important investments in operations efficiencies, including development and integration of a patent-pending technology that significantly reduces the amount of water needed to produce SOP, have been made since the original proposal was submitted in 2009.
Leamington, Ont.; Haifa, Israel; Brampton, Ont. — MGS Horticultural Inc., Leamington, Ont., together with Haifa Chemicals, Haifa, Israel, have announced they plan to purchase Plant Products Co. Ltd., Brampton, Ont. Plant Products is Canada’s largest supplier of fertilizer and pesticides in the specialty horticulture market. The deal is anticipated to close in 60 days. MGS will acquire Plant Products’ Canadian distribution business, sales force, and name. MGS plans to use both names (MGS Horticultural and Plant Products) in all communications going forward. MGS will maintain locations in Leamington, Ont.; Brampton, Ont.; Laval, Que.; St. Hyacinthe, Que.; and Detroit, Mich. As part of the deal, MGS has signed multi-year agreements with Haifa to maintain exclusive distribution of Plant-ProdÒ Soluble Fertilizers, AcerÒ Controlled Release Fertilizer, Stim-RootÒ, and potting soil premix fertilizers for distribution in Saskatchewan, Manitoba, and Eastern Canada. Haifa will acquire Plant Products’ high-performance complementary fertilizers, including the Plant-ProdÒ and PlantexÒ lines of solubles and the AcerÒ controlled-release fertilizer line. All the acquired business will be merged into Haifa group as a new company operating under the name of “Master Plant-Prod Inc.” Haifa will also acquire the blending facility in Brampton. Plant Products has locations in Brampton, Laval, and Saint-Hyacinthe. They have been developing and manufacturing fertilizers, sold under the Plant-Prod brand globally, since 1945. They are also a distributor of fertilizer, pest control products, seeds, and substrates servicing the greenhouse, nursery, specialty agriculture, and turf industries in Canada. MGS, a family-run business founded in 1941, has locations in Leamington, and Detroit. It is a full-service distributor of fertilizer, pest control products, seeds, and substrates servicing the greenhouse, nursery, specialty agriculture, and turf industries in Canada and the U.S. Haifa, founded in 1966, is a multinational corporation and a global leading supplier of potassium nitrate for agriculture and industry, specialty plant nutrients, and food phosphates.
Tampa: Early last week, PCS finally announced that it had reached the same deal with its sulfur suppliers as Mosaic did more than a week earlier. The Tampa molten price for the second quarter will increase $5/lt, to $155/lt delivered to Tampa.
As a result, Green Markets has changed the price in its index.
The U.S. Department of Energy reported that refinery capacity operating rates were up 0.9 percent last week, to 84.4 percent from the previous week’s 83.5 percent. The year-ago rate was 86 percent, with a four-year average was 85.6 percent.
Stocks of both crude oil and finished products remained very high.
Vancouver: Sulfur dealers and traders at Vancouver were expected to go along with the $5/lt bump that suppliers gained in Tampa molten sulfur, but that will not happen at least until the end of May, or possibly later.
West Coast: Although the West Coast normally tracks the Vancouver market price, it moved up $3-$5/mt last week, following the Tampa settlement.
Benelux: The price range for the second quarter was $175-$185/mt FOB.
ADNOC: The ADNOC price for April was $160/mt FOB, but was anticipated to fall about $5/mt, to $155/mt FOB.
U.S. Gulf: Potash barges remained under pressure last week, with players calling recent trades within the $410-$415/st FOB range.
Eastern Cornbelt: Potash pricing in the Eastern Cornbelt was steady at $450-$460/st FOB most regional warehouses.
Western Cornbelt: Potash remained flat at $450-$460/st FOB most warehouses in the Western Cornbelt region.
Southern Plains: Potash pricing was tagged at $445-$455/st FOB regional warehouses, with several sources putting the Tulsa potash market squarely at the $450/st FOB mark last week.
Granular potash pricing FOB Carlsbad, N.M., was quoted at a nominal $465/st FOB.
South Central: Potash pricing had reportedly slipped to $440-$450/st FOB in the South Central region, with most warehouse quotes falling at the $445/st FOB level for red granular potash last week.
Southeast: Potash pricing continued to slide in the Southeast. Red granular tons were quoted at the $450/st mark FOB most regional warehouses, and one source said rail-delivered business was being “quietly negotiated” at $455/st in the region. The upper end of the rail-delivered market was quoted at $465/st for white granular potash.
The potash market FOB Baltimore was pegged at the $455-$458/st FOB level.
India: The new subsidy price for MOP is capped at RS11,300 (US$210)/mt for the current fiscal year. This amounts to a 14 percent reduction in MOP subsidy levels compared to last year.
The government capped MOP prices to farmers at RS18,333 (US$340.66)/mt.
Last year, India paid an average of $490/mt for its imported MOP. This year, according to media reports, the price is closer to $427/mt.
The order was issued May 1, but is retroactive to April 1, when the current fiscal year began.
Central Florida: Activity in the Northeast was on a rapid rise last week, as farmers were finally getting into their fields and dealers were seeing movement from their storage bins. The Southeast has been moving for the past few weeks and continued to do so last week, although wet weather slowed progress in some areas.
The Central Florida DAP price remained unchanged at $465-$520/st FOB, based on posted and asking prices. One source said the price may be sliding, however, and speculated that DAP might be able to be purchased for as low as $455/st FOB.
Mosaic’s DAP price was listed at $465/st FOB for rail and $480/st FOB for trucks, while CF Industries was posted at $520/st FOB. PCS Sales was selling at market prices out of Aurora and White Springs.
MAP continued to bring a $20/st premium over DAP.
U.S. Gulf: Locks reopened on the Mississippi and the Illinois Rivers in late April, but high water remained a concern for commercial barge traffic. Although heavy rains have played a role in recent weeks, melting snow in the upper Midwest was perhaps the biggest factor going forward.
USDA’s most recent crop report confirmed what everyone already knew – corn planting has hardly begun because of cold temperatures and very wet conditions. Just 5 percent of the crop was planted nationally by April 28, compared with 49 percent last year at this time and 31 percent for the five-year average.
Crop prices were mixed. Corn for July was pegged at $6.56/bushel last week, while corn for December 2013 was posted at $5.5375/bushel, up from $5.3125/bushel the previous week. Corn for December 2014 was at $5.52/bushel last week, up from $5.4075/bushel at last report.
Soybeans for July were put at $13.7225/bushel last week, while bean prices for November 2013 were flat at $12.0625/bushel. Soybeans for November 2014 were posted at $12.1275/bushel, down from the previous week’s $12.1525/bushel.
Wheat for July 2013 increased to $7.25/bushel last week, compared with $7.0375/bushel the previous week, while wheat for July 2014 was listed at $7.625/bushel last week, up from $7.47/bushel at last report. Wheat for July 2015 was listed at $7.6925/bushel.
NOLA DAP barge prices were moving south last week. Sales of both domestic and imported DAP were found as low as $420/st FOB. The domestic product was identified as CF material on a resale by a trader. Mosaic was not making sales in the price range last week.
The NOLA DAP barge price range last week was quoted at $420-$430/st FOB based on actual transactions, down from the previous week’s range of $427-$465/st FOB. The lowest prices were for Moroccan product, although domestic tons were running just as low in some cases.
MAP barges were reported in the $430-$450/st FOB NOLA range. Not a lot of MAP was traded last week, however, and Russian MAP was reportedly out of the market.
Eastern Cornbelt: DAP pricing was quoted at $490-$510/st FOB regional warehouses, with the low reported out of spot river locations in Ohio and Illinois and the upper end out of inland warehouses. Indiana sources pegged the dealer market at $498-$500/st FOB Mount Vernon, Ind.
MAP remained at a $10-$20/st premium over DAP, depending on location.
10-34-0 was steady at $535-$555/st FOB in the region.
Western Cornbelt: DAP pricing remained flat at $495-$510/st FOB in the region, with the low in St. Louis and the upper end quoted in the Iowa market. MAP was $10/st higher than DAP.
10-34-0 was steady at $495-$535/st FOB in the Western Cornbelt, with the low in Nebraska and the upper end in Iowa.
Southern Plains: Lower prices were also reported for phosphates in the Southern Plains last week, with one contact saying P and K volumes have “so
Overland Park, Kan. — Compass Minerals reported a drop in operating earnings for its Specialty Fertilizer business, to $15.4 million on sales of $54 million, down from the year-ago $20.7 million on sales of $58.5 million. Sales volumes dropped to 88,000 st from the year-ago 96,000 st, though prices nudged up – average sales prices were $615/st versus the year-ago $613/st. The company attributed the volume drop mainly to sulfate of potash supply constraints, and believes those will continue in 2013, though the market itself is good. Company-wide, Compass saw an increase in net income, to $46.4 million ($1.38 per diluted share) on sales of $383.7 million, up from the year-ago $39.9 million ($1.19 per share) and $315.3 million, respectively. This was attributed to a rebound in the company’s salt business, which saw a surge in sales due to late winter snows. Year-ago salt sales were weak due to a particularly warm winter.
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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.
