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Contents
Sulphuric Acid -
NEWS
- 2005
Villagers’ demand: close GFL plant
Canada wins small battle on trade front
Big River Zinc's plant in Sauget will be closed
Bateman Awarded License for NORAM's Sulphuric Acid Technology
The Mosaic Company Announces Reduction in Operations and Revised Volume
Projections for Fiscal 2006
Citizens File Fifth Suit Against Chemical Plant
U.S. Announces Major Clean Air Act Settlement With Lucite International
Rhodia Completes Two Divestitures
Outokumpu Technology to deliver a new copper plant to China
Cytec Says Katrina Damages Chemicals Plant
Rhodia Announces Sale of Sulfuric Acid Business
Chemtrade receives statement of claim from Marsulex
Monsanto Completes Sale Of Enviro-Chem Systems
Chemtrade Logistics announces acquisition, increase in distributions, new bank
facilities and equity offering
35 tonne toxic oleum removed from Nandesari unit
Proposed Sulphuric Acid Plant Rejected
EPA Gives Green Light to Industrial Site Clean-up is a Step Closer to Being
Cleaned Up
Topsoe to Supply the Fourth WSA Plant to the Molymet Group
Chemtrade Logistics to acquire leading European marketer and distributor of
sulphur and sulphuric acid
HMZ Metals Begins Hechi Copper Smelter Expansion
Monsanto Signs Letter of Intent to Sell Enviro-Chem Systems Inc.
Conceptual Engineering for Codelco's Chuquicamata Expansion
OCFL partially suspends its operations
ASARCO Seeks to Renew Air-Quality Permit for El Paso Smelter
Rhodia Completes Sale Of UK Sulfuric Acid Business
Villagers’ demand: close GFL plant
December 15, 2005 - Nathkuva (Halol), India - Following a recent leakage of oleum from the Gujarat Fluorochemicals Limited (GFL) plant manufacturing lethal Hydro Fluoro Carbon (HFC) gases, the plant based in Ranjitnagar village of Goghamba taluka, is in the eye of a massive law and order storm. A week ago, a delegation from Nathkuva village of Goghamba Taluka in the Panchmahals petitioned before the Godhra Collector that the authorities should either shut the plant or move the GFL factory from the vicinity of human settlement. The petition, urging the Collector to take action within 10 days, comes after the villagers said that during the recent leakage they got little or no help from either the company officials or the district authorities. The morning after the leakage of oleum from a tanker outside the GFL plant compound, Nathkuva villagers attacked the plant and injured 13 workers. According to villagers, company guards shot three rounds at them before the police came to intervene. After the incident, about 392 people consisting mostly of women and children from the village reported sick at the Ranjitnagar public health centre after inhaling sulphuric acid fumes produced by oleum.
Canada wins small battle on
trade front
December 7, 2005 - Canada won a small
but significant battle on the trade front Wednesday as the U.S. International
Trade Commission ruled that the U.S. industry had not suffered any damage from
Canadian imports of liquid sulphur dioxide. The ruling means that the
important industrial chemical can be exported to the United States once again
without the threat of anti-dumping duties. In the sulphur
dioxide case, Chemtrade Logistics Income Fund said the ITC voted 5 to 1 there
was "no reasonable indication" that U.S. industry had been "materially injured
or threatened with material injury" by imports of the chemical. As a result, the
file will be closed.
Big River Zinc's plant in
Sauget will be closed
December 2, 2005
Bateman Awarded License for NORAM's Sulphuric Acid Technology
November 18, 2005 - Bateman
Engineering N.V. ("Bateman") a leading engineering, contracting and
According to the agreement, Noram will provide the technology and proprietary
• Proprietary and proven
technology, including Noram's advanced gas/gas
• Patented and compact design features that produce smaller plot
plans and
• Equipment designed for reduced operating costs and improved safety
• State-of-the-art engineering design tools and proprietary
software,
This technology complements and
extends Bateman's capability to serve the
November 17, 2005 - PLYMOUTH, Minn.,
The Mosaic Company announced today that it plans to temporarily reduce
fertilizer production at several of its North American locations due to
increased raw material costs and a slowdown in domestic and offshore demand.
Phosphate production at Mosaic's Florida and Louisiana manufacturing operations
will be reduced by approximately 400,000 to 600,000 tonnes over the next four to
six months. Potash output will be reduced by up to 200,000 tonnes during
downtime periods in the upcoming holiday season. Mosaic plans to operate
its Green Bay, Florida phosphate fertilizer plant at about one-half of its
operating capacity through April 2006 and further plans to reduce phosphate
fertilizer production at its Faustina and Uncle Sam, Louisiana plants by about
fifty percent in November and December. In addition, Mosaic's ammonia
plant at Faustina, which has been idled since early October, will restart at
full production rates because it is more cost efficient to produce ammonia in
light of recent price increases for this key raw material in the production of
phosphate fertilizers. As a result of Mosaic's lower phosphate fertilizer
production, Mosaic also plans to cut back phosphate rock mining operations in
Florida to reduce its raw material inventories.
"Following strong summer export
activity, the global fertilizer market has cooled off a bit this fall," stated
Fritz Corrigan, President and Chief Executive Officer of Mosaic. "We are
reducing phosphate production because of the margin squeeze caused by another
spike in raw material costs, including unacceptably high ammonia and sulfur
costs, and lower than expected DAP sales to customers in North America and
export markets," said Corrigan. "High energy and fertilizer prices have created
an uncertain environment and caused some customers to delay purchases. While we
expect overall demand to drop slightly this year, we are confident that farmers
will apply essential crop nutrients when planting time rolls around next
Spring," added Corrigan. "It's simply not prudent for us to continue production
at current rates given the high costs of raw materials and build unacceptable
levels of inventory and risk if customers are delaying decisions to purchase
fertilizer today. Mosaic needs to operate in a fiscally responsible manner in
the current environment by reducing our phosphate and potash production to lower
inventory levels, take on less risk, and balance our supply to meet current
purchasing activity," said Corrigan.
Citizens File Fifth Suit Against Chemical Plant
October 18, 2005 - Ashland, Kentucky
- A fifth federal lawsuit against DuPont concerning a leak at a plant in
Wurtland more than a year ago has been filed in US District Court in Ashland.
The suit is similar to the four others in that it alleges the company was
negligent when a pipe at the Wurtland facility ruptured.
U.S. Announces Major Clean Air Act Settlement With Lucite International
October 17, 2005 - Washington - The Justice Department and the Environmental Protection Agency have reached a major Clean Air Act (CAA) settlement with Lucite International, Inc. (Lucite) requiring the chemical manufacturer to install pollution controls on three emission sources at its Memphis, Tennessee plant, which will eliminate 6,500 tons of pollution each year. Under the terms of the settlement announced today, Lucite will install an estimated $16 million worth of new pollution controls, in addition to paying a civil penalty of $1.8 million and performing a supplemental environmental project worth $1.3 million. The federal government alleged that the company violated CAA provisions of the New Source Performance Standards (NSPS), the National Emission Standards for Hazardous Air Pollutants (NESHAPs), and the Protection of Stratospheric Ozone. Today's settlement resolves allegations that the company violated the CAA at its Memphis facility. "The settlement announced today demonstrates our commitment to aggressively enforcing the laws that protect our environment and our citizens," said Kelly A. Johnson, Acting Assistant Attorney General for the Justice Department's Environment and Natural Resources Division. "This agreement will significantly improve the air quality for the people of Tennessee." Lucite will install a $16 million dual absorption control system on its Sulfuric Acid Regeneration Unit, which will result in the elimination of approximately 2,500 tons of sulfur dioxide (SO2) emissions per year, to comply with NSPS standards. In addition, Lucite will implement a supplemental environmental project to reroute emissions from two other plant emission sources. This will result in a 90 percent reduction of previously permitted emissions from these sources. Implementation of this project will cost Lucite approximately $1.3 million.
Rhodia Completes Two Divestitures
October 10, 2005 - Rhodia today announced the finalization of two divestitures initiated during the second quarter 2005: - The sale of its European cartridge silicone sealants business to Henkel, following the agreement signed August 8 ; - The sale of its phosphates and sulfuric acid manufacturing businesses at its site in Rieme to Misa Inc., following the agreement signed September 2. These divestments form part of the divestiture of non strategic activities being undertaken by the Group with a view to refocusing its business portfolio. Finalization of the sale to Henkel of its European cartridge silicone sealants business. Following the announcement on August 8 of an agreement to sell its European cartridge silicone sealants business to Henkel, Rhodia today announced the sale has been completed. This business, which generated sales of more than 50 million euros in 2004, comprises the production and distribution in Europe of a wide range of silicone sealants sold in cartridge form for the construction and Do-It-Yourself (DIY) markets. The Rhodia Group will continue, through its Silcea Enterprise, to develop and manufacture core intermediates as well as bulk silicone sealants and market them in Europe and the rest of the world. Finalization of the sale to Misa of its phosphates and sulfuric acid manufacturing businesses in Rieme. Following the announcement on September 2 of an agreement to sell its phosphates and sulfuric acid manufacturing businesses at its site in Rieme (Belgium) to Misa Inc., Rhodia today announced the sale has been completed. This transaction marks a further step in Rhodia's withdrawal from the phosphates area.
Outokumpu Technology to deliver a new copper plant to China
September 22, 2005 – Finland -
Outokumpu Technology has been awarded a contract by YangguXiangguang Copper
Company for a greenfield copper production plant to be built in Yanggu county in
Shangdong province, China. The contract value exceeds EUR 50 million.
Cytec Says Katrina Damages
Chemicals Plant
September 2, 2005 - WEST PATERSON,
N.J. - Cytec Industries Inc. said Hurricane Katrina's breakneck winds damaged
its Fortier chemicals plant, and knocked out power there. Cytec said it
doesn't know when operations will resume. The Building Block Chemicals
plant, housed outside New Orleans, is being powered only by emergency
generators. A recovery team is at the site taking stock of the damage and
contacting suppliers "to re-establish the customer supply chain as soon as
possible," Cytec said. "We have declared force majeure on supply
obligations for acrylonitrile, aminonitrile and sulfuric acid manufactured at
the site," the company said.
Rhodia Announces Sale of
Sulfuric Acid Business
September 2, 2005 - Rhodia announced Friday the sale of its phosphates and sulfuric acid manufacturing businesses in Rieme, Belgium to Misa, a unit of Uganda's Madhvani International. This transaction, is a further step in Rhodia's withdrawal from the phosphates area and forms part of the divestiture of non-strategic activities being undertaken by the group with a view to consolidating its business portfolio.
Chemtrade receives statement
of claim from Marsulex
August 15, 2005, TORONTO, Ontario -
Chemtrade Logistics Income Fund and Chemtrade Logistics Inc. announced today
that it has been served with a statement of claim from Marsulex Inc.
Marsulex has claimed that Chemtrade breached its non-competition agreement with
Marsulex dated July 18, 2001 by acquiring Peak Chemical, LLC and Peak Sulfur,
Inc. (the "Peak Acquisition"). Marsulex also claims that Chemtrade is in breach
of a services agreement with Marsulex in respect of pooling certain insurance
requirements. Marsulex is seeking damages for the alleged breaches of contract
in the amount of $72.8 million, as well as other relief.
Chemtrade believes that the claims are without merit and Chemtrade intends to
vigorously defend against the claim. The
Fund disclosed in its final short form prospectus dated August 11, 2005 that
Chemtrade had earlier received and responded to a letter from Marsulex
indicating that Marsulex would view the Peak Acquisition as a breach of the
non-competition agreement. Chemtrade has received advice from its legal advisors
that the non-competition covenants contained in the non-competition agreement
are likely unenforceable.
Monsanto Completes Sale Of Enviro-Chem Systems
Aug. 8, 2005 - ST. LOUIS, Missouri, USA - Monsanto
Company (NYSE: MON) announced today that it has completed the sale of Monsanto
Enviro-Chem Systems Inc. to a new company formed by the Enviro-Chem management
team and an outside investor. The new company will do business as MECS, Inc.
Terms of the sale were not released.
Chemtrade Logistics announces acquisition, increase in distributions, new bank facilities and equity offering
August 2, 2005 - Toronto, Canada - Chemtrade Logistics Income Fund announced today that it has purchased all the outstanding equity interests of Peak Chemical, LLC ("Peak Chemical") and all of the outstanding voting equity interests of Peak Sulfur, Inc. ("Peak Sulfur" and together with Peak Chemical, "Peak"). Chemtrade has the right and intends to purchase the balance of the Peak Sulfur equity (being non-voting common stock) before the end of 2005. The aggregate purchase price was US$166.75 million, which was comprised of US$21.75 million for Peak Chemical and US$145 million for Peak Sulfur (which includes US$15.6 million to fund the purchase price of the non-voting common stock to be acquired in December 2005).35 tonne toxic oleum removed
from Nandesari unit
June 15, 2005 - VADODARA, India - Around 35 tonnes of toxic oleum was finally removed from a closed unit at Jeevan Oxychem (Nandesari), about one-and-a-half years after a major gas leak took place at the plant. The move was initiated after residents living around the closed unit, began complaining of frequent leaks from the containers during the daytime. Residents living in surrounding villages have been complaining of white fumes emanating from the containers from 10 in the morning to 6 in the evening. Authorities concerned, after inspecting the storage tanks, had warned disaster management experts that if the oleum was not transferred immediately before the monsoons set in, the gas would vigorously react with rainwater and begin emanating poisonous fumes that could lead to a major chaos in surrounding villages. The contents have finally been transferred to Transpek Silox industries in Vadsar for immediate disposal.
Proposed Sulphuric Acid Plant
Rejected
June 14, 2005
EPA Gives Green Light to Industrial Site Clean-up is a Step Closer to Being Cleaned Up
June 8, 2005 - A badly contaminated disused industrial site in Bayswater in Perth where the former CSBP fertiliser plant manufactured sulphuric acid and superphosphate from 1928 to 1990 is one step closer to being cleaned up. The soil on the site is now badly contaminated from waste materials that were disposed of on-site and the groundwater is acidic and moving towards the Swan River. It has taken the company two years to get to the stage of getting the EPA's endorsement. The company proposes to take out the residual material on-site and dispose of it off-site. It will also take care of any other contaminates that occur on-site in such a way that the area in the future can be used for industrial and commercial purposes
Topsoe to Supply the Fourth WSA Plant to the Molymet Group
June 1, 2005 - In April 2005, Topsoe
concluded a supply contract with Molibdenos y Metales S.A. (Molymet) of
Santiago, Chile concerning a plant for production of 170 MTPD sulphuric acid
from the SO2 containing waste gases of a new molybdenum sulphide roaster at
Molymet's plant at Nos, near Santiago. The plant is scheduled to start operation
in early 2007. This will be the fourth sulphuric acid plant of Topsoe's
proprietary WSA (Wet gas Sulphuric Acid) technology, supplied to the Molymet
group. The first three plants are in operation in Belgium, Chile and Mexico.
The WSA technology is especially well-suited for waste gas cleaning from metal
smelting and roasting. Due to the simple process lay-out of the condensation
based process, the WSA plant only consists of relatively few and simple
components leading to a low plant investment cost. Further, the sulphuric acid
condenser, operating only based on the use of cooling air, reduces the cooling
water consumption by a factor ten compared to traditional sulphuric acid
technology. This together with a low electricity consumption and a high steam
export offers an attractive operating economy.
Chemtrade Logistics to
acquire leading European marketer and distributor of sulphur and sulphuric acid
May 2, 2005 - Chemtrade Logistics
Income Fund announced that it has agreed to purchase Ruhr Schwefelsaure GmbH
(RS) and its subsidiary, Ruhr Transport GmbH for (euro) 8.6 million
(approximately CDN$14.1 million) on a debt free basis. RS is the leading
independent sulphur removal company in Germany, providing services to major oil
and gas industry customers in Central Europe, primarily in Germany.
RS has long-term intake contracts with most of the large producers in Central
Europe including BP, Shell and Exxon, and multi-year sales agreements with
consumers such as Bayer, Degussa and BASF. Approximately 35% of RS sulphur
intake volume is secured by a long-term contract that is in effect until 2017.
RS has a significant share of the
liquid sulphur market in Western and Central Europe and is an important supplier
of merchant sulphuric acid in Germany. As part of Chemtrade, RS will have
improved access to international markets for sulphuric acid and sulphur and the
combined logistics operations should result in cost savings for the group.
HMZ Metals Begins Hechi Copper Smelter Expansion
April 27, 2005 - HMZ Metals Inc.
announced the commissioning of the Hechi copper smelter expansion. The
expansion program is designed to double smelter capacity to 10,000 tonnes of
blister copper annually, increase operating efficiencies and enhance the
smelter's environmental performance. HMZ owns one of the two existing
copper smelters in Guangxi province. By doubling capacity, this program will
enable the Company to efficiently capitalize on regional copper production while
keeping capital costs to a minimum.
The copper smelter expansion is a
two-phase program. Phase One, with an estimated cost of US$900,000 (RMB 7.3
million) consists of the construction of an oxygen plant and the addition of a
second blast furnace which together are expected to double capacity by enabling
the smelter to operate continuously. Completion of Phase One is expected in
October 2005.
Phase Two consists of the
construction of a new sulphuric acid plant that will exceed current emission
standards. With a projected cost of US$2.8 million (RMB 22.7 million)
construction will begin following the implementation of Phase One.
Completion of Phase Two is expected in June 2006. No downtime is
expected during either Phase One or Phase Two.
Monsanto Signs Letter of Intent to Sell Enviro-Chem Systems Inc.
April 5, 2005 - Monsanto Company announced today that
it has signed a non-binding letter of intent to sell its Enviro-Chem unit to the
management of this subsidiary in a management buyout. Enviro-Chem provides
engineering, procurement and construction management services for processing
plants that use sulfuric acid. It also makes and sells proprietary equipment and
air pollution control systems.
“Enviro-Chem has been a strong player in its industry for many years,” said Mark
Leidy, Monsanto executive vice president, manufacturing. “However, this business
is not a strategic fit with Monsanto’s focus on agriculture and planned growth
of our seeds and traits business.
“We believe the best path forward for Monsanto, its shareowners, and for
Enviro-Chem’s employees and customers, is a management buyout by the Enviro-Chem
executive team. This approach will allow Enviro-Chem to operate much as it has
in the recent past, with a focus on serving its customers,” Leidy said.
In conjunction with the decision to exit this business, Monsanto will begin
reporting results for the Enviro-Chem business as discontinued operations
beginning in the company’s second-quarter period, which ended Feb. 28, 2005. The
parties are currently working on a definitive agreement for the transaction,
which is targeted to close by the end of Monsanto’s 2005 fiscal year.
January 13, 2005 - Outokumpu Technology has agreed with
Codelco, the world’s major copper producer, to carry out comprehensive
Conceptual Engineering for the expansion of the Chuquicamata copper smelter and
refinery capacity in northern Chile.
OCFL Partially Suspends its Operations
February 4, 2005 - The private sector Oswal Chemicals and Fertilizer Ltd (OCFL) at Paradip, has partially suspended after being slapped with a closure notice by the Orissa State Pollution Control Board (SPCB). The SPCB had asked the Collector of Jagatsinghpur district through a communication on January 28 to ensure the closure of operation of the OCFL's Sulphuric Acid plant, Phosphoric Acid plant and Di-Ammonium Phosphate plant till industrial safety was guaranteed. Narottam Behera, Tehsildar of Kujang tehsil, who had been entrusted with the responsibility to ensure closure of the industry, said that though the deadline for the plant's shut down ended yesterday it had been extended up to February six as the company authorities had officially received the closure notice on January 31. The SPCB order said it had found that improper environmental management practices adopted by the industry had caused leakages of gas causing inconvenience to the people.
ASARCO Seeks to Renew
Air-Quality Permit for El Paso Smelter
January 28, 2005 - Hearings began to on the issue of
whether or not ASARCO should be permitted to renew its air-quality permit for
the mothballed El Paso. An estimated 300 people turned up at UTEP's
Tomas Rivera Conference Center for the start of what's expected to be a
months-long process to answer one question: Can the Asarco smelter retain its
state permit to emit 13.7 tons of lead and tons of other pollutants into the air
annually for the next decade? That would be the same amount of pollution Asarco
was allowed from 1992 until it closed in February 1999. The trial is
expected to start in June with a final decision being made in October.
Rhodia Completes Sale Of UK Sulfuric Acid Business
January 17, 2005 - Rhodia SA has completed the sale of
its U.K. sulfuric acid businesses to U.K.-based INEOS Chlor Ltd. The sale,
for an undisclosed amount, was first announced last November. The sale of
Rhodia's U.K. chlor-alkali business to INEOS will be completed March 31, Rhodia
said. Both businesses are located in Staveley, England. The two businesses
had combined revenue of GBP20 million in 2003. The operation is part
of a sale of non-strategic activities by Rhodia in an effort to consolidate its
business portfolio.