Group’s Consolidated Output (Operating Results for Acron, Dorogobuzh and Hongri Acron)
| Stated in ‘000 tonnes | 9M 2010 | 9M 2009 | YOY |
| Ammonia | 1,279.1 | 1,239.1 | 3.2% |
| incl. own use | 1,070.3 | 1,072.5 | |
| Nitrogen fertilisers, including | 1,630.5 | 1,677,7 | -2.8% |
| incl. own use | 205.3 | 171.1 | |
| Ammonium nitrate | 956.5 | 1,141.7 | -16.2% |
| incl. own use | 31.0 | 44.3 | |
| Urea | 330.2 | 328.3 | 0.6% |
| incl. own use | 174.3 | 126.8 | |
| Urea-ammonium nitrate (UAN) | 343.8 | 207.7 | 65.5% |
| Complex fertilisers, including | 1,772.2 | 1,526.0 | 16.1% |
| incl. own use | 13.0 | 22.8 | |
| NPK | 1,639.8 | 1,381.4 | 18.7% |
| incl. own use | 13.0 | 22.8 | |
| Bulk blends | 132.4 | 144.6 | -8.4% |
| Organic compounds,including | 262.3 | 253.7 | 3.4% |
| incl. own use | 132.3 | 132.7 | |
| Methanol | 60.1 | 52.5 | 14.5% |
| incl. own use | 48.7 | 47.3 | |
| Formalin | 93.5 | 91.3 | 2.4% |
| incl. own use | 83.1 | 84.7 | |
| Urea-formaldehyde resins (UFRs) | 108.7 | 109.9 | -1.1% |
| Non-organic compounds, including | 705.3 | 619.2 | 13.9% |
| Low-density and technical-grade ammonium nitrate | 132.4 | 143.2 | -7.5% |
| Calcium carbonate | 413.2 | 371.9 | 11.1% |
| iquid carbon dioxide | 34.4 | 30.9 | 11.3% |
| Argon | 4.9 | 4.5 | 8.9% |
| Hydrochloric acid | 120.4 | 68.7 | 75.3% |
| TOTAL MERCHANT OUTPUT (output less own consumption) | 4,228.5 | 3,916.8 | 8.0% |
Comments
Acron Group’s commercial output for the first nine months of 2010 totalled 4.229 million tonnes, up 8% year-on-year. Ammonia and mineral fertiliser merchant output was up 7% year-on-year to 3.393 million tonnes. This growth was primarily due to a 10% increase (to 2.406 million tonnes) in commodity output by Acron (Veliky Novgorod) and a 48% increase (to 640,000 tonnes) by Hongri Acron. In the first nine months of 2010, output at Dorogobuzh declined 10% to 1.183 million tonnes because of a maintenance halt of the ammonia plant in August and September.
In general, the Group’s operating results reflect growing global demand for fertilisers on the back of the recovery of commodity markets after the recession, as well as deferred demand and replenishment of fertiliser stock in various regions around the world.
Nitrogen fertilisers and ammonia
In the reporting period, the Group’s facilities produced 1.279 million tonnes of ammonia (including for in-house use), up 3% year-on-year.
Commercial production of nitrogen fertilisers was down 5% to 1.425 million tonnes due to a shift in capacity utilisation aimed at increasing NPK output. At the same time, the favourable environment on the liquid nitrogen fertiliser market fuelled a 66% increase in UAN output against the same period of 2009.
Acron Group’s nitrogen fertilisers have been always in high demand on the Russian market, and this year they found a ready market in Brazil, the U.S., Canada, the Baltic States and the CIS.
Complex fertilisers
In 2010 the global market saw higher demand for complex fertilisers. For this reason, the Group boosted its consolidated merchant output 17% in the reporting period to 1.759 million tonnes. Acron (Veliky Novgorod) and Hongri Acron contributed to this growth, while NPK capacity at Dorogobuzh was slightly reduced due to lower ammonia output.
This year, Acron Group’s complex fertilisers have enjoyed increasing demand in Asia, particularly in China, India and Thailand, with major sales traditionally focused in Russia and the CIS.
Organic and non-organic compounds
Commercial output of organic and non-organic compounds during the first nine months of 2010 grew 13% to 835,000 tonnes, mainly as a result of higher calcium carbonate output at Acron (Veliky Novgorod) and hydrochloric acid at Hongri Acron due to the increase in complex fertiliser capacity. Acron (Veliky Novgorod) produced 60,000 tonnes of methanol (up 14.5%), spurred on by the revival on the organic synthesis product market in Russia and the CIS.