Ammonia demand remains sluggish both sides of the Suez heading into May, with the bearish tone illustrated by the latest slide in the Tampa contract. The $55pt month-on-month fall was not as severe as expected in some quarters and a subsequent spot sale for prompt delivery into Northwest Europe at a premium price was welcomed…
Yara has revealed the extent of its European production curtailments, with more than half (58%) of its ammonia capacity curtailed and almost a quarter (23%) of the Norwegian major’s finished fertilizer capacity offline at present. As of late April, the group had curtailed an annual capacity of 2.8m. tonnes of ammonia and 3.9m. tonnes of…
In a hectic week and against the backdrop of a fresh fall in the Tampa contract, plenty of spot deals were concluded as lower prices tempted buyers back into the market after months of demand destruction. While the $155pt plunge in the US benchmark to $435pt cfr for April loading was broadly in line with…
CF Industries has signed a definitive purchase agreement with Incitec Pivot Limited (IPL) for the Australian group’s Waggaman ammonia plant in Louisiana, which has a nameplate capacity of 800,000t per year (880,000 st/year). The US giant will purchase the complex and related assets for $1.675 billion, with the pair allocating approximately $425 million of the…
The international ammonia market is falling deeper into bear territory as Q1 draws to a close, with the first confirmed business into Turkey for early April arrival underlining the strong downward pressure that has sparked talk of fresh price corrections. Trafigura and Trammo both sold into the country in the low-$500s pt cfr, while a…
Despite a round of short covering of earlier urea sales in Egypt and amsul in China, the overall nitrogen dynamics continue to be weak. Indeed, the Profercy World Nitrogen Index declined by 9.15 points to 195.47 this week, the lowest levels seen since June 2021. A big part of the decline is due to the…
Global urea prices have been on a downward trajectory since September last year and are now closer to Q2 2021 levels. In contrast to much of 2022, producers have struggled to build order books so far this year. Nearly every major exporting region has ample availability of urea for February shipment. Producers in the Arab…
The international ammonia market has begun 2023 in an overwhelmingly bearish mood given the amount of material available and significant slump in European natgas costs. Participants have suggested European import prices could slide sharply in the coming weeks, as major producers reduce their reliance on imports and focus on ramping up output. The bearish tone…
Having restarted production at one ammonia line in early November, Achema will temporarily stop ammonia production on 19 December owing to rising gas prices. The producer will continue to produce ammonium nitrate and resin on both lines from stocks of ammonia. However, it is unclear how long this will continue. The 600,000t/year ammonia line had…
The international ammonia market is far longer than in previous weeks as overcapacity in the Americas, Middle East and Southeast Asia emerges fast and generates negative price pressure in key import regions. Many participants remain reluctant to divulge prices or price targets, but bearish sentiment is clearly the dominant position given the amount of spot…