Koch Fertilizer Companies Launch Projects in France, United Kingdom, Australia, Mexico and United St

Company adding capability to serve markets throughout the world

Koch Fertilizer Companies Launch Projects in France, United Kingdom, Australia, Mexico and United St

February 22, 2010

Koch Fertilizer, LLC and its affiliates are significantly expanding their ability to serve customers and suppliers by developing new deepwater terminals and expanding existing operations at ports around the world. Locations include Sète, France; Avonmouth, U.K., Geelong, Australia; Topolobampo, Mexico and Charleston, S.C., U.S.A. With the new additions, Koch Fertilizer, LLC’s global dry bulk, liquid and ammonia storage capacities will exceed 2 million metric tons.

“These new investments will complement our global marketing, distribution and production network and enhance our ability to efficiently serve customers and suppliers,” said Steve Packebush, president of Koch Fertilizer, LLC. “Operating terminals in ports around the globe will allow Koch Fertilizer to offer liquidity to suppliers of all types of fertilizer and provide customers access to low-cost products and services. We will have the capability to handle large and small vessel shipments and provide diverse products to agricultural and industrial customers in a broad number of strategic locations.”

“We believe our terminal distribution system is one of the largest and most diverse of its kind in the world,” Packebush added.

The company announces the following new or expanded facilities:

  • Sète, France: Koch Fertilizer Trading Sàrl has an agreement with SEA-Invest Sète to expand the fertilizer import terminal in Sète, France to serve markets in southern and eastern France and the Mediterranean. SEA-Invest Sète, S.A. will build and operate a 20,000-metric ton storage facility in Sète for use exclusively by Koch Fertilizer Trading Sàrl. Construction is expected to be complete in fourth quarter 2010. Koch Fertilizer Products SAS will be able to market a wide variety of products from the terminal, including urea, calcium ammonium nitrate, ammonium sulfate, phosphates and potash via barge, truck and rail shipments, and will provide bagged product. Sales contacts: Hervé Defrancq, +33 (13) 9238106, Herve.Defrancq@kochind.com Steve Nowicki,+ 33 (68) 7719006, Nowickis@kochind.com Maxime Austruy, +33(13) 9238103, Maxime.Austruy@kochind.com
  • Avonmouth, U.K.: Koch Fertilizer Trading Sàrl has entered into an agreement with Bristol Port Company to expand its existing storage space to add 25,000 metric tons of capacity, for a total of 35,000 metric tons. The expansion will feature new blending facilities coupled to electronic weighbridge systems and computerized product handling. Construction is expected to be complete by third quarter 2010. Sales contacts: Simon Borthwick,+44 (1672) 518290, Simon.Borthwick@kochind.com
  • Geelong and Melbourne, Australia: Koch Fertilizer Asia Pty Ltd has leased a 150,000-metric ton storage facility from GrainCorp Operations, Ltd at Geelong, Australia and is working with GrainCorp to add capital investments to improve efficiencies for dry fertilizer loading for primary distribution in the states of Victoria and New South Wales. In addition, Koch Fertiliser Australia Pty Ltd has opened an office in Melbourne, Australia. Sales contact: Marc Sukkel, +61 (3) 98768800, Marc.Sukkel@kochind.com
  • Topolobampo, Sinaloa, Mexico: Koch Fertilizer Trading Sàrl and Terminal Transoceánica de Topolobampo have entered into an agreement to expand Terminal Transoceánica’s 30,000-metric ton urea storage facility to better serve customers in northwest Mexico. Construction is expected to be completed in the third quarter of 2010. Koch Fertilizer will have dedicated access to 25,000 metric tons of storage space for dry fertilizers. Sales contact: Reinaldo Bello, +1 (345) 946-6726, Bellor@kochind.com
  • Charleston, South Carolina, U.S.A: Koch Nitrogen Company, LLC recently added 40,000 metric tons of storage at Kinder Morgan Terminals, LLC’s Charleston facility. The facility will be used to supply potash and other fertilizers through this terminal for rail and truck delivery to customers in the southeastern United States. This terminal is unique as it has links to both the NS and CSX railroads. Sales contact: Sam Murray, +1 (316) 828-6455, Sam.Murray@kochind.com

With these new points of demand and through its global, deepwater terminal network, Koch Fertilizer, LLC will be able to provide value to customers to improve their management of price risk, price volatility and working capital needs. From these facilities, Koch Fertilizer, LLC will handle diverse products: nitrogen, potash, phosphates, and sulfur products. This expansion allows for crop diversity: in coarse grains, pasture, sugar cane, citrus and vegetables.

“Having access to demand points year-round is a priority for us,” Packebush said. “We’re accomplishing this by expanding to new markets and expanding the product mix we offer. Our focus is on creating value through a low cost supply and distribution network that serves and builds solutions benefitting our customers.”

The dry bulk, liquid and ammonia distribution systems of Koch Fertilizer, LLC and its affiliates are global and include marketing and distribution capabilities worldwide. Marketing offices are located in Wichita, Kansas; Brandon, Manitoba; Cayman Islands; Geneva, Switzerland; Marlborough, U.K.; Paris, France; Singapore and Melbourne, Australia.

Koch Fertilizer, LLC and its affiliates produce, distribute and globally market nitrogen fertilizers, including anhydrous ammonia, urea, nitric acid, UAN solutions, ammonium nitrate solution, ammonium polyphosphate and ammonium thiosulfate. The companies’ fertilizer interests have the capability of producing more than 10 million metric tons of fertlizer products annually. Koch Fertilizer, LLC is an indirect, wholly-owned subsidiary of Koch Industries, Inc. (www.kochind.com), one of the largest private companies in America.