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UAN - The variable distribution MLP that could go a long way
An SI Board Since March 2021
Posts SubjectMarks Bans Symbol
209 26 0 UAN
Emcee:  Elroy Type:  Moderated
This board is to discuss CVR Partners (ticker - UAN).

CVR partners is a maker of UAN and ammonia fertilizers.

The entity is a Master Limited Partnership (MLP). It pays quarterly distributions based on an internal formula of cash for distribution.

What’s interesting and good about the current UAN story?

1. Least interesting. Congress recently passed a law granting tax credits for a certain type of carbon capture. UAN has been doing this type of carbon capture for a few years. They are researching how best to monetize this new tax credit, and may tell us the result in the Q1 or Q2 2021 conference calls.

2. The fertilizers which UAN sells have moved up in price significantly since January 2021, and are now near decade high price levels. The unit price of UAN has moved up in 2021, but not to a level which one would expect if fertilizer prices are going to stay near their current levels for an extended period. Earlier in about 2012-2013 when fertilizer prices were at similar levels to where they are today, UAN was distributing about $12 per year, and the unit price was above $200.

That’s the story in a nutshell.

Here’s a page that appears to show the futures price for UAN fertilizer.

UAN the company generally doesn’t produce much news beyond quarterly financial results. I’d expect this board to become fairly quiet outside of the quarterly results. Recently there have been 3 to 4 articles per month on various agriculture web sites that discuss fertilizer price trends. UAN’s two main fertilizers for sale are UAN32 and anhydrous/ammonia. There are also a few articles per week that discuss changes in the price of corn. Higher corn prices = both more corn planting and more incentive to use fertilizer to improve yields on corn acreage. High corn prices per bushel are very good for fertilizer demand.

Feel free to discuss anything fertilizer or agriculture related. My expertise in both subjects is nil, so we will accept any wild corn conspiracy theories as facts, and eat corn, and wait to see the financial results that UAN may produce in a high priced fertilizer environment.
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ReplyMessage PreviewFromRecsPosted
208Another five year high unit price todayElroy-last Friday
207UAN for Q1 delivery now above $440/ton. cmegroup.comElroy-last Thursday
206UAN unit price briefly hit a five year high today.Elroy-last Thursday
205DTN Retail Fertilizer Trends On Sept. 15, CF Industries announced a Elroy-last Wednesday
204CF Industries Holdings, Inc. Commences Restart of Ammonia Plant at Billingham, UElroy-last Tuesday
203UAN for Q1 delivery is now $438 ton……. cmegroup.comElroy-last Tuesday
202U.K. in Deal to Restart Fertilizer Output, Easing CO2 Crunch Tuesday
201If anyone wants to understand how UAN converts natural gas into ammonia and UAN,Elroy-last Monday
200UAN for Q1 2022 delivery at $412/ton today...... This is sort of Elroy-last Monday
199Food Prices Poised to Surge With Fertilizer at Highest in Years Monday
198UAN for Q1 2022 delivery at $400/ton today...... cmegroup.comElroy1last Sunday
197UAN Q1 up over $30 today. Now $390-$398/ton cmegroup.comElroy-September 16
196The good news just keeps coming. CF stopping ammonia production in the UK becauElroy-September 15
195UAN Q1 now $360/ton to $365/ton cmegroup.comElroy-September 15
194DTN Retail Fertilizer Trends Retail Fertilizer Prices Climb Slowly as Shutdowns Elroy-September 15
193Another ammonia plant off line due to Ida. 13 September 202Elroy-September 13
192If anyone has any questions about UAN the MLP, ask away! I'm pretty sure thElroy-September 13
191Here's a UAN peer companies (MOS) Aug 2021 monthly results, with a comparisoElroy-September 13
190CF Industries Holdings, Inc. (NYSE: CF), a leading global manufacturer of hydrogElroy-September 9
189Lets see....... the company is repurchasing it's own high cost debt the CEElroy-September 8
188UAN futures up another 1.5% or so today. It's still early Sep. What do yElroy-September 8
187CVR Partners Announces Notice of Partial Redemption for its 9.250% Senior SecureElroy-September 8
186US Nola urea barges hit 9 year high with supply tightening post Hurricane Ida pElroy-September 8
185USDA Crop Progress Report USDA Crop Progress Report Lowers Corn Condition From Elroy-September 7
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