Japanese firms start truck-to-ship ammonia bunkering
A Japanese cross-industry group has started trial supplies of fuel ammonia to a tugboat from a tanker truck, ahead of an official commissioning scheduled for late August.
The group comprises shipping firm NYK Line and its subsidiary Shin-Nippon Kaiyosha, power producer Jera and ammonia producer Resonac. The companies have jointly studied the possible setting up ammonia bunkering for tugboats since December 2023.
Jera supplied the marine ammonia to NYK on 17 July to fuel the NYK-owned tugboat A-Tug at Yokohama port. The ammonia was transported by a tanker truck and fuelled by truck-to-ship operations, which the group said is the world's first attempt.
A-Tug is expected to begin normal operations in late August, behind an initial target of June because of technical delays. Jera after the commissioning will supply the marine ammonia to Shin-Nippon Kaiyosha, which will be in charge of operating the tugboat at Yokoyama and Kawasaki ports in Tokyo bay.
Jera is buying from Resonac an unspecified volume of low-carbon ammonia, which is partly derived from waste plastics. Ammonia consumption of the tugboat was undisclosed. But bunkering is scheduled to be done twice a month by an 8-10t tanker truck, Jera said.
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Yara to supply PepsiCo with reduced-carbon ferts
Yara to supply PepsiCo with reduced-carbon ferts
London, 17 July (Argus) — Norwegian fertilizer producer Yara has signed an agreement to supply global food and beverage manufacturer PepsiCo with 165,000 t/yr of fertilizer using feedstock from Yara's renewable and CCS ammonia production projects. The agreement stipulates Yara will work towards supplying PepsiCo with fertilizer products exclusively from Yara's ‘Climate Choice fertilizers' range by 2030. The length and start date of the supply agreement were not disclosed. Yara's Climate Choice fertilizers range will include nitrate fertilizer products which are produced using ammonia from the company's 20,000t/yr renewable ammonia plant in Porsgrunn . The plant began commissioning earlier this year. The range will also include products using ammonia feedstock from Yara's carbon capture and sequestration (CCS) production project at Sluiskill , which is expected to begin CCS operations in 2026. The range also includes Yara's premium nitrate-based fertilizer products, with which newer catalyst technology results in carbon footprint reductions when compared to older production plants. The carbon footprint of the ammonia feedstock will vary dependent on these production pathways. Porsgrunn ammonia can produce nitrate mineral fertilizers with a 70-90pc carbon reduction when compared to fossil-fuel natural gas production pathways. Argus estimates nitrate fertilizers require 0.26-0.43t ammonia per tonne of nitrate product on average (see table). The ammonia consumption rate varies on the nitrate product concerned, and whether it is technical or fertilizer grade. Argus estimates Yara's supply agreement with PepsiCo could equate to a requirement of around 43,000-71,000t of ammonia. Yara has signed similar agreements with other agriculture companies within Europe. In January the company signed an agreement with Nordic grocery chain Reitan Retail, Norwegian agriculture co-operative Felleskjopet Agri and Norwegian milling group Norgesmollene, to supply the consortium with nitrate-based fertilizer products with a reduced carbon footprint. And in 2023 Yara signed a similar agreement with German flour producer Bindewald, Gutting Milling Group and German bakery Harry Brot. Pricing structures for the agreements have so far not been disclosed, but the producer is expecting a premium for the low-carbon attributes of its finished fertilizers, especially once the EU's Carbon Border Adjustment Mechanism (CBAM) becomes operational in 2026. Once CBAM is applied, the increased cost for more carbon-intensive products will determine the achievable premium for lower-carbon nitrate fertilizer, the company expects. By Lizzy Lancaster Tonnes ammonia per tonne nitrate product AN (technical grade) 0.41 AN ( fertilizer grade) 0.43 CAN 0.34 AS 0.26 Argus Average ammonia feedstock estimates, actual rates vary by country. Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Egypt's Kima and Helwan restart urea production
Egypt's Kima and Helwan restart urea production
Amsterdam, 17 July (Argus) — Egyptian fertilizer suppliers Kima and Helwan have restarted granular urea output, following shutdowns on 16 July. Helwan brought its 650,000 t/yr granular urea plant back on line during the evening of 16 July. It is now running at 80pc and expects product to be available from 18 July. Kima restarted its 570,000 t/yr granular urea plant earlier today and is running at around 75pc of capacity. Both producers had been running at 80pc of capacity from 2 July to 16 July. There has been no update regarding Abu Qir's prilled urea plant, which also went off line on 16 July . Most of the country's remaining urea plants have been operating at 80pc. Mopco is running only two of its three granular urea plants at 80pc, while EFC's production status has yet to be confirmed. Urea export offers had started at $380-390/t fob Egypt earlier in the week, but fresh liquidity emerged yesterday , with NCIC selling 5,000t lots at $362-367/t fob for loading at the end of this month. A gas supply crunch in Egypt has hampered urea production since 20 May, as the country prioritised gas deliveries to power plants to meet summer cooling demand. But LNG imports eased the balance at the beginning of July. Egypt fixed at least 17 LNG cargoes in a 25 June tender — seven for July, six for August and four for September. By Harry Minihan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Canpotex, Coromandel settle new Indian MOP contract
Canpotex, Coromandel settle new Indian MOP contract
London, 17 July (Argus) — Canadian potash distributor Canpotex and Indian fertilizer importer Coromandel International (CIL) have settled a new Indian standard MOP contract price at $283/t cfr with 180 days of credit for deliveries until 31 December 2024. Volumes are undisclosed but CIL imported around 416,000t of MOP during the 2023-24 fertilizer year, according to Argus data. Imports under the new contract will likely be around this figure. The contract price is $4/t higher than the contract price signed last week by India's IPL at $279/t cfr with 180 days' credit and $36/t below last year's headline price of $319/t cfr with 180 days' credit. Canpotex and CIL's contract price is also $10/t higher than the contract price settled in China last week at $273/t cfr between Russia's Uralkali and the Chinese buying consortium. This latest contract price is broadly in line with standard MOP prices in southeast Asia, which Argus currently assesses at $275-305/t cfr. By Julia Campbell Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
More Egyptian urea production offline: Update
More Egyptian urea production offline: Update
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