Port Neal Nitrogen Complex Expands in Iowa, United States of America

CF Industries Holdings accomplished the construction of new ammonia and urea units at Port Neal Nitrogen Complex.

United States: CF Industries Holdings, an Illinois (United States) based manufacturer of agricultural fertilizers, invested USD1.7 Billion to construct new ammonia and urea production units at Port Neal Nitrogen Complex in Iowa. The expansion is built on an area of 1,700 acres and is built strategically in the US Corn Belt. The company aims to increase the annual ammonia capacity of the facility to 1.2 million tons. Post expansion, the urea production capacity of the plant reached 1.4 million per annum. The expansion is connected to the existing gas supply via Rockies and Canada and also to Williston Basin for future supply. The step was taken to augment supply of urea to the company’s upper-Midwest area customers. The expansion is also expected to boost the local economy and provide 2,000 construction jobs, 130 permanent jobs and about 700 jobs in the related industry.

Techsci Research depicts that this expansion would increase the distribution of agricultural fertilizers in the Midwest USA, giving CF Industries Holdings a firm grip in the market. Volatility in the natural gas prices still remains an important factor as this might create difficulties in getting raw material for the expansion.

According to the recently published report by TechSci Research, “Global Nitric Acid Market By Plant Type (Dual and Mono Pressure), By Sales Channel, By Application (Ammonium Nitrate and Calcium Ammonium Nitrate, etc.), By Region (Europe, Asia-Pacific, etc.), Competition Forecast and Opportunities, 2011 – 2025”, the global nitric acid market is projected to grow at a CAGR of over 6% during 2016-2025, on the back of implementation of stringent regulations related to greenhouse gas pollution control, expanding ammonium nitrate and calcium ammonium nitrate industries and growing demand for explosives from mining and construction sectors. Europe is the largest consumer of nitric acid across the globe. However, rapid industrialization in APAC are projected to drive robust growth in demand for nitric acid and its derivatives in the region in the ensuing years.