
Market Outlook
A softer trend in DAP prices, linked to lower operating rates in China and declining demand, is contributing to falling sulphur prices.
A softer trend in DAP prices, linked to lower operating rates in China and declining demand, is contributing to falling sulphur prices.
In spite of changing patterns of demand, deglobalisation and environmental concerns, phosphate mining and acid-based processing are likely to be the mainstay of the industry for years to come.
Anggi Arifin Nasution and Aldifi Putro of PT Petrokimia Gresik detail an inventive redesign of their economiser, a critical component in sulphuric acid production, focusing on energy efficiency, decarbonisation, process optimisation, and equipment durability.
Rohit Khurana and Umesh Jainker of KBR presented a technical paper on this topic during the 2013 Asian Nitrogen + Syngas Conference. It can be found in the UreaKnowHow.com E-Library with the title: ”Replacing ammonia plant catalyst with maximum efficiency and lowest cost”. The paper addresses the importance of de-dusting catalyst beds before commissioning and the serious impacts on the plant if not performed thoroughly. Many ammonia plants have faced problems related to the plugging of exchangers, pipe choking, pressure drop increase of the downstream catalyst beds and separators or foaming in the CO 2 removal section which could be caused by the presence of catalyst dust. Most of these problems have led to either decrease in the efficiency of the plant or operation at lower throughputs. The paper presents the critical steps and procedures for proper dedusting of the catalyst beds before commissioning. In addition, the foaming problem in the CO 2 removal section associated with catalyst dust is discussed signifying the importance of cleaning the CO 2 removal system and solution. The role of filters in the CO 2 removal section was also emphasised.
Market Insight courtesy of Argus Media
The closure of CF Industries’ ammonia plant at Billingham, Teesside (see Industry News, page 8) marks the end of a long era for UK fertilizer manufacture. The facility was the last operating ammonia plant in the country, following CF’s decision to permanently close its site at Ince in Cheshire in June last year. Going forward, Billingham will now rely on imported ammonia as a feedstock to run the nitric acid and 625,000 t/a ammonium nitrate plants on the site.
Ammonia prices have now dropped by about 50% from their highs a year ago. Gas prices have fallen, particularly in Europe, and peak fertilizer application season is over in Europe and North America, leading to slackening demand., leading to slackening demand.
Prior to the covid pandemic, sub-Saharan Africa had been the fastest growing market for new fertilizer demand. However, the combination of pandemic related disruption, followed by the dislocations caused by the war in Ukraine, have pushed up prices and led to falling demand across the continent.
New supply is weighing on the market. In addition to increased exports in the second half of the year from upgrades and new refining projects from the Middle East, crushed lump sulphur is also again entering the market in higher quantities from both the FSU and the Middle East, and displacing granular product in some markets, notably Morocco and China.
Maria Mosquera, Editor of the Argus Sulphur Report and Liliana Minton, Editor of the Argus Sulphuric Acid Report at Argus Media assess price trends and the market outlook for sulphur and sulphuric acid.