Sulphuric Acid News Roundup

FINLAND

Outotec merger with Metso Minerals

On June 30th, following clearance from the European Commission, Outotec completed the year-long merger of Metso’s Minerals business with Outotec via a partial demerger of Metso. The newly formed company, Metso Outotec, will focus on leadership in sustainable minerals and metals processing and recycling technologies. Headquartered in Finland, Metso Outotec employs over 15,000 professionals in more than 50 countries and its combined sales for 2019 were e4.2 billion.

The company will provide crushing and screening equipment for the production of aggregates as well as equipment and solutions for minerals processing, metals refining, chemical processing, and metal and waste recycling. Growing interest in the environment and the impact of climate change, urbanisation, decreasing ore grades and electrification are forcing traditional industries like aggregates, minerals processing and metals refining to redefine their license to operate, Metso Outotec said.

”It is our core expertise to help our customers transform the industry. We offer sustainable technologies and services that reduce the consumption of energy and water by increasing process efficiency, recycling and reprocessing of tailings and waste,” president and CEO Pekka Vauramo said in a press release.

SAUDI ARABIA

Ma’aden completes refinancing of Wa’ad Al Shamal

The Saudi Arabian Mining Company (Ma’aden) says that its subsidiary Ma’aden Wa’ad Al Shamal Phosphate Company (MWSPC) has signed new financing agreements for $2.3 billion with leading local and regional financial institutions. The proceeds from these agreements will be used to pay down existing loans. The new financing facilities replace the more restrictive project financing terms and conditions originally put in place, and are, says the company, “a step towards significantly strengthening the long term cash flow position for Ma’aden as part of its strategy to pursue new growth and development projects”.

Commenting on the announcement, Ma’aden’s CEO, Mosaed Al Ohali, said: “We are proud of the strong appetite from banks to lend to Ma’aden MWSPC during the current challenging market conditions. This is a reflection of our financial strength and growth prospects and the durability of our assets. With abundant phosphate deposits in the north of Saudi Arabia, Ma’aden is well placed to build on its position as a leader in the global phosphates market and make Saudi Arabia a major contributor to global food security.”

The MWSPC integrated phosphate fertilizer production complex at Wa’ad Al Shamal is one of the largest in the world, including a $8 billion joint venture between Ma’aden (60%), Sabic (15%), and Mosaic (25%).

THAILAND

Thailand approves large scale green projects

The Thailand Board of Investment has approved five large-scale projects with a total investment value of $1.35 billion to strengthen the country’s agricultural sector in line with a stated ‘bioeconomy, circular economy, and green economy’ model. Among the projects, Thai Oil PCL received approval for a power project which will form part of the Sriracha Refinery Clean Fuel Project. The power plant will burn refinery residues to produce 250 MW of electricity. Sulphur dioxide recovered from flue gas will then be converted into 80,300 t/a of sulphuric acid using Haldor Topsoe’s SNOX process (see Sulphur Industry News, Sulphur 388, May-Jun 2020, p11).

DEMOCRATIC REPUBLIC OF CONGO

Outotec to supply SX/EW technology

Outotec has been awarded a contract by La Sino-Congolaise Des Mines SA (Sicomines) for the delivery of copper solvent extraction technology to Sicomines’ project near Kolwezi in the Democratic Republic of Congo (DRC). The order value, approximately e20 million, has been booked in Outotec’s 2020 second quarter order intake. Sicomines is a joint-venture formed by companies from China and the DRC.

Outotec’s scope includes basic engineering, technology and equipment deliveries and advisory services for mechanical installation as well as commissioning and start-up of the modular VSF® X copper solvent extraction plant.

“The Sicomines project will be a great reference for Outotec in the active African copper/cobalt market,” said Kalle Härkki, head of Outotec’s Metals Refining business.

CHILE

Chuquicamata smelter shut down by Covid outbreak

Chile’s state copper company Codelco has decided to shut down its Chuquicamata copper smelter and refinery in the Antofagasta region of northern Chile as a preventative measure against the spread of the Covid-19 virus. The smelter produced 321,000 tonnes of copper in 2018. In addition to reducing copper production, the decision will also reduce the production of sulphuric acid which is used to leach copper at other operations.

RUSSIA

Acid tank wagon contract

Freight wagon manufacturer United Wagon Company (UWC) has delivered a batch of 77 tonne, 44m3 capacity Type 15-9545 sulphuric acid tank wagons to the Transport Logistics Systems (TLS) rail operator. This is the first supply agreement between the companies, and the first acquisition of specialised new-generation cars by the Siberian operator.

“The Siberian region serves as one of Russia’s largest transport and transit hubs,” says Mr Oleg Balakirev, CEO at Transport Logistics Systems. “In order to work effectively in this highly competitive environment, companies require not only efficiency and high professional standards from their teams, but also modern rolling stock. The rolling stock we have acquired will allow us to ensure the uninterrupted export of our clients’ products, while reducing transportation costs per tonne of transported product.”

Norilsk under fire for waste water dumping

Norilsk Nickel says that it has suspended staff for pumping waste water from one of its processing plants into nearby countryside. Local press allege that the waste water contained nickel, cobalt, copper and sulphuric acid, which the firm has denied. In a statement, Norilsk Nickel (Nornickel) said “those responsible at the plant have been suspended” for “allowing a flagrant violation of the operational rules at the plant’s tailings reservoir. Nornickel has launched an investigation into what happened, and the firm is working with the ministry of natural resources and the emergencies ministry.” According to Norilsk, the waste water does not contain toxic tailings from its mining operation. The firm says the purified water had been pumped away from the reservoir to prevent overspill, while admitting that it was not acceptable practice.

Foskor’s site at Richard’s Bay, South Africa.

PHOTO: FOSKOR

SOUTH AFRICA

Fire at Foskor’s sulphuric acid plant

Phosphate producer Foskor says that a fire at its acid plant in Richards Bay will not impact production and supply. The fire broke out at a rock phosphate transfer tower where phosphate rock and sulphur are conveyed into stores, Foskor said in a statement. It was extinguished before any severe damage could occur to the conveyor structure, and no employees or contractors were hurt, said Musa Xulu, general manager of logistics, shipping and materials handling at Foskor.

“The fire outbreak will have no impact on our production nor on the ability of Foskor to supply our products to the customers,” Xulu said. “The damaged conveyors are expected to be operational by end of June, 2020.”

UNITED STATES

Mosaic instigates anti-dumping investigations

US fertilizer producer Mosaic has filed with the US Department of Commerce and the US International Trade Commission to request an investigation into “countervailing duty” on imports of phosphate fertilizers from Morocco and Russia. Mosaic says that, as the largest US producer of phosphate fertilizers, with an annual output of 16 million t/a, it is taking this action because “large volumes of unfairly subsidized imports from Morocco and Russia are causing significant harm to Mosaic’s operations”. Mosaic’s phosphate fertilizer business employs approximately 3,500 workers and operates mines and production facilities in Florida and processing plants in Louisiana.

The company added that the purpose of the petitions is to “remedy the distortions that foreign subsidies are causing in the US market for phosphate fertilizers, and thereby restore fair competition”. “Mosaic believes in free trade and vigorous competition, and we believe we should compete on a level playing field,” said Mosaic President and CEO Joc O’Rourke. “The duties we are seeking will help ensure that North American farmers can rely on the American phosphate industry to supply critical fertilizers for the long term.”

The US Department of Commerce and International Trade Commission will consider the petitions and determine the next steps, which typically involve lengthy investigations.

EGYPT

Loan for Abu Tartur phosphate project in Egypt

The National Bank of Egypt (NBE) and the Arab African International Bank (AAIB) are considering a $750 million loan for Al Wady for Phosphate Industries and Fertilizers. The loan would cover the construction of a new phosphoric acid plant at Abu Tartur. The expected cost of the project is $1.2 million, of which 35% will be self-financed and 65% via external loans. The project’s implementation is likely to start during the fourth quarter (4Q) of 2020, and its completion is expected in 30 months.

INDIA

Recovery in Indian DAP production

India diammonium phosphate (DAP) production is recovering, rising to 325,000 tonnes in May after a fall to 260,000 tonnes in April due to the country’s nationwide lockdown because of the Covid-19 pandemic. Indian fertilizer demand has remained fairly strong in spite of the pandemic, with forecasts for a good rice crop and plentiful rainfall during the June-September monsoon season leading to increased buying by farmers. Producers in turn have sought to return production to maximum rates ahead of the kharif application season.

SERBIA

July completion for SO2 capture system

Zijin Bor Copper, the Serbian unit of China’s Zijin Mining Group, says that it will complete the construction of a sulphur dioxide capture system at its Serbian copper smelter in July. Zijin Bor Copper was renamed after RTB Bor was bought by the Chinese mining company in December 2018, following a $350 million capital injection. Zijin Bor Copper is aiming to invest $800 million during 2020 and 2021 in expanding capacity at the site, via the revamping of existing and opening of new mines, increasing the capacity of the copper smelter in Bor, as well as in environment protection activities.

Company director Jian Ximing said: “We plan to solve the SO2 air pollution problem in Bor permanently, by making a system for capturing fugitive gases, so that we will redirect all the gases to the sulphuric acid plant.” The company plans to process 440,000 t/a of copper concentrate in 2020 to produce 200,000 t/a of copper cathodes and anodes, and 370,000 t/a of sulphuric acid.