Rentech Nitrogen Partners, which operates a plant in East Dubuque, Ill., announced Thursday its board of directors has declared a cash distribution of $0.05 per common unit for the fourth quarter of 2013, payable on Feb. 28 to holders of record as of Feb. 24.
This distribution will bring cumulative cash distributions for the 12 months ended Dec. 31 to $1.67 per unit. The $0.05 per unit fourth-quarter distribution compares to the partnership's existing guidance of a distribution as low as zero.
The partnership's results for 2013 were heavily affected by significant unanticipated declines in nitrogen prices, unusually high volumes of low-priced urea exports from China and a very wet spring application period throughout our U.S. markets delayed and reduced demand for products. Several factors have improved the balance of global supply and demand, including the closing of China's low-tariff export window in late October, and strong urea demand from India. As a result, urea prices began to stabilize entering the 2013 fall application period, followed by increases in the prices of urea and other nitrogen products to their current levels.