Tampa: On Wednesday, PotashCorp reached final agreements with its sulfur suppliers. It joined Mosaic, which settled several days earlier, in agreeing to pay $48/lt less than during the previous quarter for molten sulfur delivered to Tampa for the first three months of this year. The new Tampa molten price was set at $172/lt, down from $220/lt for the fourth quarter of 2011.
Negotiations actually began earlier than normal before the end of last year, but dragged on as both sides watched the world sulfur market retreat in January.
Sulfur supplies in the U.S. were outpacing demand during the beginning of the first quarter, which was part of the reason the price fell. World prices were also on the decline.
Vancouver: After Tampa molten sulfur prices for the first quarter fell sharply, the Vancouver sulfur market was expected to make a similar move downward when new contracts are finalized. One source said the new price could be as low as $150/mt FOB, but a higher price was more likely.
West Coast: Prices on the West Coast were expected to follow the Vancouver market, as the two generally remain very close.