Itafos and Rio Tinto amend sulfuric acid contract
Published by Oliver Kleinschmidt,
Deputy Editor
World Fertilizer,
Itafos Inc. has agreed to an amendment to its sulfuric acid supply contract with Rio Tinto, continuing its long-term relationship with its US copper producer Kennecott, a key supplier of a primary raw material required to produce its phosphate products manufactured at the company’s Conda, Idaho facility, US.
Pursuant to the amended Sulfuric Acid Supply Agreement, Itafos will continue to purchase sulfuric acid from the Kennecott mine in Utah. Under the amended agreement, the reference index price will change from the Vancouver Index to the Tampa Index from 1 May 2026 through 31 December 2029. To promote long-term value for both US farming and mining industries, the parties have agreed to an adjusted sulfuric acid price until 31 December 2029 to help address significant price volatility of sulfur over the last four years. Additional modifications to the Sulfuric Acid Supply Agreement around delivered volumes have been negotiated to provide greater flexibility for incremental supply (subject to availability). Conda has historically sourced approximately 60% of its sulfuric acid requirements from Rio Tinto, and it is expected that it will purchase similar volumes under the amended Sulfuric Acid Supply Agreement. After 31 December 2029, it is expected that Itafos will continue to purchase sulfuric acid from Rio Tinto.
CEO of Itafos, David Delaney, commented: “We are pleased to announce this amendment and thank the Rio Tinto team for further strengthening the relationship. The amended contract will allow us to maintain supply of a vital input to our production process while decreasing our exposure to volatility in commodity prices. Rio Tinto has been a reliable supplier to the Conda plant for over three decades, and we are pleased to continue this relationship on terms that are mutually beneficial to both parties.”
“This amended agreement reflects the strength of our long-standing partnership and our shared commitment to reliable supply for the US agriculture sector,” said Rio Tinto Kennecott Managing Director Nate Foster. “Through close collaboration, we are advancing solutions that strengthen domestic resiliency for American farmers while supporting the broader farming community to help keep crop yields strong and supply as consistent as possible.”
Itafos is a phosphate and specialty fertilizer company with businesses and projects spanning three continents:
Conda
Conda is a vertically integrated phosphate fertilizer business located in Idaho, US with a production capacity that includes approximately 550 000 tpy of MAP, MAP with micronutrients (MAP+), superphosphoric acid (SPA), and merchant grade phosphoric acid (MGA); and approximately 27 000 tpy of hydrofluorosilicic acid (HFSA).
Arraias
Arraias is a vertically integrated phosphate fertilizer business located in Tocantins, Brazil with the following production targets (following the proposed restart of the beneficiation circuit): approximately 275 000 tpy of SSP, PAPR and DAPR; approximately 170 000 tpy of SSP, 60 000 tpy of PAPR and 45 000 tpy of DAPR; approximately 40 000 tpy of excess sulfuric acid (220 000 tpy gross sulfuric acid production capacity).
Farim
Farim is a high-grade phosphate mine project located in Farim, Guinea-Bissau.
Santana
Santana is a vertically integrated high-grade phosphate mine and fertilizer plant project located in Pará, Brazil.
Read the article online at: https://www.worldfertilizer.com/sulfur/19052026/itafos-and-rio-tinto-amend-sulfuric-acid-contract/
