On April 17, 2013, there was a huge explosion at the West Fertilizer plant in West, Texas (20 miles north of Waco, Texas). The explosion killed and injured many people and it decimated the nitrogenous fertilizer producing plant there along with everything in a four block area. I hate to be a ghoul, but this is actually positive news for Rentech Nitrogen Partners LP (RNF), which is also a nitrogenous fertilizer producer. It has one of its two nitrogenous fertilizer producing plants located in Pasadena, Texas (near Houston). RNF's Pasadena plant is approximately a three hour truck drive to West, Texas (near Waco, Texas). There is also train service; and RNF's Pasadena plant can load directly onto railcars.
West Fertilizer is or was a small business; but it had 54,000 pounds of anhydrous ammonia on hand according to an emergency planning report. West Fertilizer was still a significant nitrogenous fertilizer supplier in Texas. Its production will have to be replaced by other fertilizer manufacturers for the near term at least. It is unclear how much if any of this business RNF's Pasadena, Texas plant will get, but even the prospect of lower local supply of nitrogenous fertilizers due to this explosion should push prices up a bit. This means RNF should benefit. Possibly, it will benefit a lot.
From what I've gathered and may be wrong the West facility was just a distributor/mixer, not a manufacturer.
So it shouldn't make any difference in the supply available.
But what's with the huge jump today?