16 June 2008 00:00 [Source: ICB]
2006: 1.608m short tons (1.459m tonnes) 2007: 1.303m tons 2011: 1.41m tons,projected. Demand equals production plus imports (2006: 183,000 tons 2007: 149,000 tons) less exports (2006: 98,000 tons 2007: 146,000 tons). Sources: US Census Bureau USITC
Historical (2002-2007): -1.4%/year. Future: 1.5%/year through 2011. Source: ICIS Chemical Business
Historical (2002-2007): High, $378 (€244.6)/short ton, list, 94-97%, pellet, landed duty-paid import value low, $212, same basis. Current: $318-330, same basis. Source: USITC
Deicing, 22% road stabilization and dust control, 20% industrial processing, 20% oil and gas well fluids, 17% concrete, 12% tire ballast, 5% miscellaneous, 4%. Source: ICIS Chemical Business
The calcium chloride market has been generally balanced since the middle of 2007. Severe winters from 2004 through 2006 contributed to shortages in supply, due to increased demand for deicing applications. Peak usage occurred in 2005 when 1.795m tons were consumed - more than 90% of the operating capacity at the time.
Calcium chloride has gained increased recognition as a superior deicing product, and highway mixtures with sodium chloride may be less corrosive than the use of salt alone. Its use is dependent on weather conditions, with icy winters creating the greatest demand. Solid calcium chloride can be spread alone as a deicer, or liquid solution may be sprayed on solid sodium chloride to enhance this salt's deicing performance.
In oil recovery, calcium chloride is used in drilling muds, cementing operations and work-over/completion fluids. Calcium chloride consumption in well drilling has been growing in recent years, commensurate with the rise in the price of crude oil.
Calcium chloride manufactured by hydrochloric acid neutralization with limestone is seeing higher costs due to a reduction in by-product acid. The hydrochloric acid market transformed itself during the 1990s from seasonal shifts between oversupply and balance, to shifts between balance and very tight. Today, isocyanate producers send most of their coproduced acid to ethylene dichloride plants. Additionally, demand for chlorofluorocarbons (CFCs) and hydrochlorofluorocarbons (HCFCs) has been declining, removing more coproduced acid from the market.
Demand has shifted in recent years, as the largest segment, deicing, is dependent on weather. Last winter was relatively mild in North America, compared to the previous three years, and demand actually decreased.
The recent record prices for oil are having a positive effect on fossil fuel exploration, and demand for drilling fluid components such as calcium chloride are increasing.
NORTH AMERICAN CALCIUM CHLORIDE CAPACITY, '000 SHORT TONS/YEAR
|BJ Services||Geismar, Louisiana||122|
|Dow Chemical||Ludington, Michigan||565|
|Honeywell Specialty Chemicals||Baton Rouge,Louisiana||77|
|Keg River Chemical||Slave Lake, Alberta||440|
|National Chloride||Amboy, California||15|
|Tetra Technologies||Amboy, California||35|
|Tetra Technologies||Cadiz Lake, California||35|
|Tetra Technologies||Lake Charles,Louisiana||265|
|Tetra Technologies||Norco, Louisiana||83|
|Tetra Technologies||Parkersburg,West Virginia||95|
|Tetra Technologies||Wichita, Kansas||29|
|US Magnesium||Rowley, Utah||40|
|Ward Chemical||Calling Lake, Alberta||555|
|Wilkinson Chemical||Mayville, Michigan||44|
*Thousands of short tons/year, all forms (flake, anhydrous and liquid) reported as 100% CaCl2. Product mix varies between producers. All producers manufacture liquid product (30-45% solutions of CaCl2), but only Dow Chemical, General Chemical and Tetra Technologies manufacture solid forms. Commercial production is through refining of natural brine or by neutralization of by-product hydrochloric acid with limestone.
Beginning in February 2007, EcoProduct Solutions of Houston, Texas, began marketing the by-product calcium chloride solution produced by Honeywell Specialty Materials at its facility in Baton Rouge, Louisiana.
Tetra Technologies is building a new manufacturing site for liquid and dry calcium chloride in El Dorado, Arkansas. Brine feedstock for this operation will be supplied from Chemtura's nearby bromine operation.
In 2006, Dow Chemical increased the dry calcium chloride capacity at its plant in Luddington, Michigan. However, the actual capacity was not revealed.
Keg River Chemical is a subsidiary of Tiger Calcium Services, based in Alberta, Canada.
Several companies produce small amounts of reagent and USP grades.
Profile last published March 28, 2005
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