CF Industries and The J. R. Simplot Company announce West Coast anhydrous ammonia agreement
Published by Robyn Wainwright,
CF Industries Holdings, Inc. and the J. R. Simplot Company have entered into an agreement that allows CF to ship, store, and distribute anhydrous ammonia from Simplot’s Rivergate Terminal in Portland, Oregon, starting in 2019.
The arrangement will enable CF to meet growing demand for anhydrous ammonia in Pacific Rim countries, a region that imported over 4.1 million t of the product in 2017. CF intends to supply the ammonia from its Medicine Hat, Alberta nitrogen complex, which has among the lowest production costs in the company’s manufacturing network. Additionally, CF anticipates selling to local customers from the terminal.
Simplot’s Rivergate Terminal is the largest deep water ammonia terminal on the US West Coast, and has two 25 000 t ammonia storage tanks on site. The terminal is located on the Willamette River in Portland, Oregon, approximately 2.5 miles upstream from its confluence with the Columbia River.
"We are delighted to partner with our customer, J. R. Simplot Company at Rivergate, to further expand CF’s best-in-class ammonia distribution capabilities and leverage our Medicine Hat complex’s low cost production and logistics advantages,” said Bert Frost, Senior Vice President, Sales, Market Development and Supply Chain, CF Industries. “Through this state-of-the-art, multi-mode point of sale, we will increase our ability to serve customers on the Pacific Rim, a region whose consumption is growing and imports account for over 25% of global seaborne ammonia trade.”
“We are excited about this opportunity to partner with CF Industries to leverage available capacity at our Rivergate terminal, a key asset in our supply chain,” said Doug Stone, President of Simplot’s AgriBusiness Group. “With the commissioning of the anhydrous ammonia plant at our Rock Springs, WY facility, the opportunity to provide available storage and warehousing of ammonia became a mutually beneficial arrangement with one of our long time partners, CF Industries.”
Read the article online at: https://www.worldfertilizer.com/project-news/25102018/cf-industries-and-the-j-r-simplot-company-announce-west-coast-anhydrous-ammonia-agreement/
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