The outlook in ammonia: Pricing a moving target in 2020, but stability in store for CO2 sourcing


Another decade is already upon us and those in the ammonia industry are already talking about a gradual recovery in market prices since several major capacity additions in 2017 and 2018.

This is welcome news for ammonia producers and should mean production at European plants, outside of the usual planned summer maintenance, will remain steady in 2020. 

Gas prices remain a big factor in producers’ decision-making processes, though. The carbon dioxide (CO2) crisis of 2018 sent shockwaves through Europe as regional ammonia producers shut down plants through Q2 and Q3 to survive crippling high natural gas feedstock prices and comparatively low ammonia prices.

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