The Weekly Catalyst
- Global ammonia prices have bounced from YTD lows below production costs in Europe and portions of Asia, a positive for North American production margins based on its relatively cheap natural gas.
- Despite the recent ammonia price improvement, it is not high enough to cover the production costs for most green projects. However, most North American blue projects are profitable at current prices.
- Global chemical prices moved higher WoW, as did Brent Crude relative to US natural gas. These trends have developed positively in 2H23 for North American producers relative to Europe and Asia.