Terra mothballs ammonia plant
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Manufacturing News, Source : TheManufacturer.com
Published : 02 May 2005 16:27
Terra Industries, a leading producer of nitrogen products including fertilizer, announced that it has mothballed its Donaldsonville, LA, ammonia plant indefinitely.
The plant, which once had an annual production capacity of 500,000 tons, was last operational in December of 2004. It had been on standby status since then. The ammonia plant is the last of the company’s Donaldsonville plants to be shut down which will complete the facility’s transition from a manufacturing site to one used solely as a storage and distribution terminal.
Terra’s ammonia needs will now be met through an agreement with Yara, a major ammonia manufacturer. "High, volatile natural gas prices make it uneconomical to keep the Donaldsonville ammonia plant on standby,” said Michael L. Bennett, Terra's President and CEO. "We are pleased to have secured a competitive ammonia supply contract to replace the manufactured ammonia and believe the Donaldsonville facility's storage and distribution capabilities will enable Terra to seamlessly supply our customers, as well as provide future strategic opportunities."
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