Tampa: Sources were not expecting a quick settlement for third-quarter molten sulfur prices delivered to Tampa.
Several things will interfere with phosphate producers and sulfur suppliers getting together, with sources citing the short Independence Day week, the upcoming Calgary Stampede, and the big industry gathering in San Antonio for the Southwestern Fertilizer Conference.
Sources said it is entirely possible there could be discussions in San Antonio, but likely not a settlement.
One of the biggest factors that will come into play during negotiations is the weak world market. Prices in Vancouver have fallen to around $100/mt FOB, which is not attractive to sellers there. Phosphate producers will have to walk a fine line to avoid cutting off too much of the supply from Canada while still getting a great deal.
The second-quarter price was $155/lt delivered to Tampa.
U.S. Gulf: The Gulf price range was $100-$110/mt FOB.
Vancouver: The situation for sulfur suppliers at Vancouver was difficult, and that may be the case for a few months, depending on what happens with the third-quarter molten sulfur price at Tampa.
The Vancouver export price was hovering around $100/mt FOB last week.
West Coast: Prices on the West Coast were in the $98-$108/mt FOB range. The West Coast has been hit by the same factors as Vancouver due to its export orientation.
Benelux: The price range for the second quarter was $175-$185/mt, but prices will likely fall during the third quarter.
ADNOC: The ADNOC price for June was $140/mt FOB. Sources said the recent prices in the Arab Gulf region were in the sub-$100/mt FOB range. The posted price will undoubtedly fall at the beginning of this month.