BioNitrogen signs agreement with United Suppliers
BioNitrogen Corporation announced that it has signed a supply agreement with United Suppliers, Inc. for the offtake of urea fertilizer for its planned plants in Pointe Coupee Parish, Louisiana.
United Suppliers is owned by 735 locally-controlled ag retailers and provides crop nutrients such as urea fertilizer to its owners in 20 states from east of the Rockies to west of the Mississippi River plus three of the western provinces in Canada. United Suppliers is a wholesale organization based in Eldora, Iowa.
This will be the second supply agreement under the framework agreement announced with United Suppliers in August 2012. The supply agreement contract will provide United Suppliers with the plant production of approximately 124,200 short tons annually per plant for twenty-five (25) years.
Matt Carstens, United Suppliers Vice President of Crop Nutrients, stated, "The agreement for these plants provides a framework for building plants in a strategic area to provide green domestic urea to our nitrogen fertilizer customers based on BioNitrogen's sourcing of biomass raw material. It will enhance our ability to obtain US-manufactured fertilizer from BioNitrogen."
Bryan Kornegay, Jr., president and CFO of BioNitrogen, said, "We are pleased to further our relationship with United Suppliers. This supply agreement is another important step toward providing green domestic urea fertilizer made from U.S. biomass to North American farmers."