Category: Commodity

Blue ammonia – ammonia produced from fossil hydrogen with carbon capture and storage (CCS) – offers a cheaper alternative than green ammonia for low carbon supply in the short term, and is more suited to retrofits.

l The market looks very tight through the end of the year, though some expect supply to improve in Q4. Prices are unlikely to ease in the coming weeks. l Woodside’s Beaumont New Ammonia Project is now 97% complete, and the producer expects production from the first train in late 2025. There is no information from Gulf Coast Ammonia on when to expect commercial production. l There was an absence of fresh confirmed business into northwest Europe. Still, producers with ammonia capacity in the region are expected to be maximising output given the favourable economics at current spot natural-gas prices at the Dutch TTF.

NextChem subsidiary MyRechemical has been selected by Mana Group and Equinor to conduct a feasibility study for a waste-to-methanol plant at Norway's Mongstad refinery. The project will use NX Circular™ technology to convert urban and industrial waste into chemical grade syngas which will be further processed to produce low-carbon methanol. The facility is expected to produce circular methanol with a low carbon footprint, eligible under the EU Renewable Energy Directive criteria. This methanol could initially replace marine bunker fuel to meet the targets of the FuelEU Maritime regulation, exempting final users from buying ETS credits and paying penalties, and potentially later be used as feedstock for methanol-to-jet facilities to produce sustainable aviation fuel (SAF) compliant with FuelEU Aviation regulation.

By the end of October the ammonia market was facing an acute shortage of spot tonnage, reflected in a $60/t jump in the Tampa price for November. The benchmark Tampa price increased for the sixth straight month to its highest since February 2023 as the global ammonia supply crunch deepened. The surge at Tampa was said to be driven by good demand in the US for direct application combined with a lack of supply. Contributing factors included Nutrien shutting down its nitrogen production in Trinidad, potentially removing around 85,000 tonnes/month from the market. So far, there is no suggestion that other producers in Trinidad will follow suit, and they may even benefit from a boost natural-gas supply given the Nutrien outage, although it is unclear whether the spare gas will be directed to ammonia as opposed to other demand sources.

Almost one third of sulphuric acid production, and a much greater share of globally traded acid, comes from smelting of base metal sulphides and the recovery of SO2 from flue gases. Smelter acid production continues to increase, particularly from copper, creating an imbalance in the sulphuric acid market.

ADNOC Gas PLC has reported $1.39 billion in net income for 2Q 2025, up 16% year on year and a quarterly record for the company. Last year, the gas processing and sales arm of Abu Dhabi National Oil Co. logged its highest annual net earnings - $5 billion - due to rising natural gas demand in the United Arab Emirates. In particular, revenue from ADNOC Gas’s sulphur sales more than doubled to $96 million from $43 million.

YPF says that its modernisation of the Luján de Cuyo refinery has taken a step forward with the installation of a hydrodesulphurisation reactor, designed to remove sulphur compounds from diesel fuel by means of a catalytic process using hydrogen. The installation forms part of the refinery’s New Fuel Specifications (NEC) project, intended to produce of fuels with a lower environmental impact. The new reactor was built in Mendoza by IMPSA. With a length of 38 meters and a weight of 456 tons, it was moved from Godoy Cruz to the YPF plant in a logistic operation that involved Vialidad Nacional, Mendoza Police and local authorities. It will now be integrated into the HDS II unit, designed to reduce sulphur content in diesel to 10 parts per million, in line with current environmental requirements. The NEC plan includes new process units, such as H2 II and SE33, the adaptation of existing facilities and the improvement of auxiliary services. The project, already 85% complete, will allow all the diesel oil produced in Luján de Cuyo to comply with the highest emission requirements.

CSV Midstream Solutions says that startup of the Albright gas plant in Alberta is likely to be delayed due to issues with the sulphur recovery plant. Commissioninf began in June 2025, with expectations of full-scale operations to commence in July 2025. However, a faulty valve at the SRU has necessitated a root cause analysis for its failure. The plant will process 150 million cfd of sour gas once operational.

Saudi Aramco has signed an $11 billion lease and leaseback deal involving its Jafurah gas processing facilities with a consortium of international investors, led by funds managed by Global Infrastructure Partners (GIP), a part of BlackRock.

• The global sulphur market is forecast to enter a downward trend as supply from Saudi Arabia normalises following the summer months, while demand decreases alongside demand for phosphate fertilizers. The price is expected to fall towards the end of the year, with a low of around $220/t by May 2026.