Tag: Prices

Meena Chauhan , Head of Sulphur and Sulphuric Acid Research, Argus Media, assesses price trends and the market outlook for sulphur.

New sulphur burning capacity in India is expected to come online in the coming months at fertilizer producer operations. This will lead to an increase in sulphur import demand but also impact sulphuric acid imports to the country.

2022 was another very good year for Nutrien, the world’s largest crop nutrient company. The Canadian-headquartered fertilizer giant produces around 27 million tonnes of potash, nitrogen and phosphate products annually from operations and investments in 14 countries, distributing these to agricultural, industrial and feed customers across the globe. Its agriculture retail business, Nutrien Ag Solutions, also serves more than 500,000 farmers worldwide.

More than 1,000 delegates from 500 companies and 60 countries gathered at the Sheraton Grand Rio Hotel & Resort, Rio de Janeiro, Brazil, 29 January – 1 February, for the 2023 Fertilizer Latino Americano (FLA) conference. The event was hosted by CRU in collaboration with Argus. With attendance at record levels this year, we present selected highlights from this year’s four-day FLA event.

Market Insight courtesy of Argus Media. Urea: Prices fell in most global markets in early March as suppliers chased limited demand. Although India’s purchase tender has yet to formally conclude, IPL looks set to book 1.15 million tonnes of urea at $330-334.8/t cfr, with traders mainly sourcing from Russian and Middle Eastern producers.

Russia’s invasion of Ukraine has hit European fertilizer producers hard. Ammonia plants across the continent have been inactive over the winter due to prohibitively high feedstock costs. The future of nitrogen fertilizer production in the region will depend on access to an affordable, secure and sustainable energy supply and the switchover to low-carbon technologies.

Suncor has selected Rich Kruger to be the company’s next president and CEO, effective from April 3rd, according to the company. Kruger will also join the Suncor board of directors. The announcement follows a search process conducted by a special committee of the board. Rich Kruger previously worked for ExxonMobil for 39 years, and was the chairman and CEO of Imperial Oil Ltd from 2013 through 2019 before retiring from the company, where he focused on safety, reliability and operational excellence. Kris Smith, who has been interim CEO since July 2022, will work with Kruger to ensure a smooth transition before assuming the role of Chief Financial Officer and Executive Vice President of Corporate Development, at the conclusion of Suncor’s annual general meeting on May 9, 2023. Alister Cowan, the current CFO, plans to retire but has offered to remain with the company through the end of the year to support the transition to Mr. Smith and to provide advisory services. Smith replaced previous CEO Mark Little, who resigned in July 2022 following investor pressure after a series of safety incidents and fatalities.

Meena Chauhan , Head of Sulphur and Sulphuric Acid Research, Argus Media, assesses price trends and the market outlook for sulphur.

As it is an involuntary product, sulphur tends to be sold at whatever price the producer can get for it. This means that one of the major determinants of the sulphur price is the cost of transporting it to the customer, and in this regard one of the key indices is the Baltic Dry Index (BDI), which measures the cost of shipping dry bulk goods around the world, reported daily by the Baltic Exchange in London. The BDI has been on quite an excursion over the past couple of years – perhaps not as wild as the period from 2004-2009 when everyone wanted to ship goods to and from China, there was a shortage of vessels to carry it, and oil prices were at record highs - but eye-catching nevertheless.

Chinese domestic sulphur supply growth remains strong. Production is expected to rise in 2023, putting pressure on import demand potential. In 2022 total imports were 7.6 million tonnes, with a stable view for the year ahead.