Rentech Nitrogen estimates ammonia plant blaze repairs at $1m-2m

05 December 2013 13:30  [Source: ICIS news]

LONDON (ICIS)--Rentech Nitrogen has determined that the fire that occurred at its Illinois plant last week started in the ammonia converter, and repairs are expected to cost $1m-2m, the company announced on Thursday.

While the brief blaze at the East Dubuque facility on the morning of 29 November did not injure anyone or lead to a release of chemicals, it resulted in the complete shutdown of the plant, and operations are unlikely to restart until early 2014.

"Rentech Nitrogen has determined that the fire … began at the ammonia converter of the ammonia synthesis loop. The cost of repairs, which are currently underway, is anticipated to total approximately $1-2m [€740,000-1.48m]," the US company announced in a short statement.

The company, which produces up to 275,000 tonnes/year of ammonia and urea ammonium nitrate (UAN), added it intends to file a claim related to the incident, under its property insurance policy, which has a deductible [excess] of $1m.

"Production of all products at the facility is still anticipated to be halted for several weeks while repairs are made, however shipments of products held in inventory resumed on Saturday," it continued.

"Rentech Nitrogen does not expect the fire to affect the schedule for completion of repair work already underway on the foundation of one of the four syngas compressors, or the remainder of commissioning for the ammonia capacity expansion project."

($1 = €0.74)

By: Richard Ewing
+44 208 652 3214

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