May 2014

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HP Petrochemicals: Ammonia production booms on cheap natural gas

Thanks to the availability of a steady supply of affordable natural gas as a feedstock, the ammonia and fertilizer industries in North America are experiencing a renaissance that has not been witnesse..

Keel, T., IHS Chemical

Thanks to the availability of a steady supply of affordable natural gas as a feedstock, the ammonia and fertilizer industries in North America are experiencing a renaissance that has not been witnessed in decades. During the past five years, demand for ammonia grew at an annual average rate of almost 2.5% from 153 million metric tons (MMt) in 2009 to more than 170 MMt in 2013. Demand surges This is welcome news for both the petrochemical and agricultural industries, since more than 80% of ammonia is used in fertilizer and agricultural products essential to expanding food crop production. According to a new report, the IHS Chemical Ammonia Value Chain Special Study, growing incomes and imp

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