Yara's industrial sector has delivered a strong first-quarter result and solid growth compared with last year.

Overall sales figures show in the industrial group show a rise in sales to NOK 757m ($127.2m) from NOK 684m ($115m) in 2006.

Sales of liquid CO2 to European end users continued to grow in the first three months of this year say the company. Furthermore, contractual price revisions combined with a relative tight supply balance have positively affected the margins.

Yara notes the Scandinavian gas business has had a positive development in sales of cylinder gases to end users, leading to improved results. Also contract derivatives have effected on industrial urea and ammonia sales contracts, with price links to low sulphur fuel oil (LSFO).

Fixed costs increased compared with same period last year following
higher commercial activities in industrial gases and environmental
chemicals. Last year included gains of approximately NOK 20 million ($3.4m)from the divestment of Formates.