Today Rentech Nitrogen, LLC, a wholly-owned subsidiary of Rentech Nitrogen Partners, L.P. (NYSE: RNF), and Yara North America Inc., the world’s largest Diesel Exhaust Fluid (DEF) producer, announced that they have entered into a long-term agreement for the exclusive rights to purchase and distribute the DEF produced at the Rentech Nitrogen facility in East Dubuque, IL under Yara’s Air1® brand. Air1 DEF, a non-toxic solution that transforms harmful NOx emissions from heavy-duty diesel-powered vehicles into harmless water vapor and nitrogen, is the operating fluid used with SCR technology to comply with the EPA’s 2010 emissions standards.
The agreement comes just ahead of Rentech Nitrogen’s urea expansion and DEF build-out to be completed later this year. Under the agreement, Rentech Nitrogen will supply Yara, a leader in the DEF market, with DEF from its urea liquor stream that meets the high standards of ISO 22241 specifications and protects engine catalysts.
Rentech Nitrogen’s plant location in northwestern Illinois will allow Yara to service targeted high-demand DEF markets in the Midwest, including Wisconsin, Illinois and Iowa. Additionally, the plant’s location near major transportation arteries will allow Yara to supply DEF to the Rockies, other central U.S. states outside the Midwest, and Canada.
“We are looking forward to a successful long-term partnership with Rentech Nitrogen,” says Chad Dombroski, Director of Air1 for Yara. “We’re dedicated to continually bolstering our DEF production and distribution capabilities to ensure our ability to produce and supply DEF to our customers in North America, wherever and whenever they need it, is one step ahead of the fast-growing demand of the market. Our agreement with Rentech Nitrogen will further our ability to make good on this promise and is aligned with our broader goal of developing the nation’s supply network.”“We’re excited to expand our nitrogen fertilizer product offerings to include DEF, a much needed product in a growing market segment,” says Marc Wallis, Rentech Nitrogen’s Senior Vice President of Sales and Marketing. “For our DEF product, we have chosen to team exclusively with Yara, a DEF market leader, and are looking forward to combining our manufacturing expertise and the capabilities of our East Dubuque facility with Yara’s rich experience in this space.”