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Non-Tech : UAN - The variable distribution MLP that could go a long way
UAN 77.00-1.7%Jun 14 4:00 PM EDT

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From: Elroy9/13/2021 1:19:58 PM
   of 811
If anyone has any questions about UAN the MLP, ask away!

I'm pretty sure the Q3 distribution is going to be somewhere between $3.50 to $6.00. And the following quarters should be higher, as the price of UAN fertilizer and ammonia fertilizer continue to rise, albeit slowly.

The buying season for Q1 and Q2 useage begins about November. We likely get another ramp in prices starting about then, but who really knows?

I'm not expert on fertilizer and MLPs, but I reckon the unit price is going to march higher up toward $100 once the Q3 distribution is announced, and the current margin profile becomes more transparent.
UAN probably distributes $20 over the next four quarters. A $60 unit price seems (to me, at least) to be too low. $100 is more like it (20% yield to start, then the yield will reduce as unit price goes higher, or fertilizer price declines.....)

UAN will announce the Q3 distribution on about November 1st.
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