Anhydrous ammonia is an alkaline compound consisting of Nitrogen and Hydrogen which is transported worldwide in gaseous or liquid form on board pressurized or refrigerated vessels. These vessels (gas carriers) are also used to transport liquefied petroleum gas (LPG). Handling and operating of these vessels is highly specialized and requires particular knowledge and experience. Availability of such gas carriers in the market is limited.
Out of over 200 million metric tons (MT) of ammonia produced annually worldwide, only around 18 million MT are available for international marketing and seaborne trade. Almost all of the remaining capacity is dedicated to downstream production of chemicals and various fertilizers. In addition to petrochemical and industrial applications, ammonia also serves as a fertilizer and can be injected directly into the soil through a process called direct application.
Trammo’s role in the supply chain
Since its foundation in 1965, the year when Trammo arranged its first international seaborne movement of ammonia, Trammo has reached the top ranking as the largest CFR supplier of ammonia in the world and has consistently remained the world’s leading independent marketer and transporter of this product. Trammo trades around 3 million metric tons of ammonia annually. The product is delivered via a fleet of 10 to 14 semi and fully refrigerated gas carriers of various sizes that operate worldwide under Trammo’s control.
Trammo is also present and highly active in large domestic distribution markets, including North America and China. In the U.S., Trammo markets and distributes around 500,000 MT of ammonia per year through a long-term offtake from a state of the art facility based in Waggaman, LA. In addition, Trammo owns over 100,000 MT of fully refrigerated ammonia storage capacity spread across four Midwest river-based terminals located in the states of Illinois and Ohio. Trammo’s North American fleet is the largest independent ammonia barge fleet in the world.
In China, Trammo markets and distributes around 500,000 MT of ammonia per year. Trammo controls an ammonia terminal located in Nanjing, Jiangsu Province, with storage capacity of around 40,000 MT. Domestic trade is carried out by a fleet of around 140 ammonia trucks that are used to deliver the product throughout Eastern China. Trammo also employs a Chinese flag refrigerated gas carrier, the only one of its kind in the world, which allows Trammo to perform coastal trade.