SULFUR (Data in thousand metric tons of sulfur, unless noted) Domestic Production and Use: In 1995, elemental sulfur and byproduct sulfuric acid were produced at 168 operations in 30 States, Puerto Rico, and the U.S. Virgin Islands. Total shipments were valued at about $500 million. Total elemental sulfur production was 10.3 million metric tons; Texas and Louisiana accounted for 50% of domestic production. Elemental sulfur was recovered at petroleum refineries, natural gas processing plants, and coking plants by 59 companies at 150 plants in 26 States, Puerto Rico, and the U.S. Virgin Islands. Elemental sulfur was produced by one company at two mines in two States, using the Frasch method of mining. Byproduct sulfuric acid, representing 13% of sulfur in all forms, was recovered at 16 nonferrous smelters in 10 States by 11 companies. Domestic elemental sulfur provided 67% of domestic consumption, and byproduct acid 11%. The remaining 22% of sulfur consumed was imported sulfur and sulfuric acid. About 90% of sulfur was consumed in the form of sulfuric acid. Agricultural chemicals (primarily fertilizers) comprised 67% of sulfur demand; chemicals, organic and inorganic, 8%; metal mining, 6%; and petroleum refining, 5%. Other uses, accounting for 14% of demand, were widespread because a multitude of industrial products require sulfur in one form or another during some stage in their manufacture. Salient Statistics--United States: 1991 1992 1993 1994 1995e/ Production: Frasch 2,870 2,320 1/ 1,900 2,960 W Recovered elemental 6,650 7,050 2/ 7,720 7,160 3/ 10,300 Other forms 1,310 1,300 1,430 1,380 1,500 Total 10,800 10,700 11,000 11,500 11,800 Shipments, all forms 11,100 11,000 10,500 11,700 12,000 Imports for consumption: Frasch and recovered 3,020 2,730 2,040 1,650 2,300 Sulfuric acid, sulfur content 603 649 797 696 650 Exports: Frasch and recovered 1,200 966 656 899 1,000 Sulfuric acid, sulfur content 49 46 46 46 65 Consumption, apparent, all forms 13,500 13,400 12,600 13,100 13,900 Price, reported average value, dollars per ton of elemental sulfur, f.o.b., mine and/or plant 71.45 48.14 31.86 28.60 35.00 Stocks, producer, yearend 1,190 809 1,380 1,160 600 Employment, mine and/or plant 3,100 3,200 3,100 3,100 3,100 Net import reliance4/ as a percent of apparent consumption 19 20 12 12 18 Recycling: About 3 million tons of spent acid was reclaimed from petroleum refining and chemical processes. Import Sources (1991-94): Frasch and recovered: Canada, 65%; Mexico, 33%; and other, 2%. Sulfuric acid: Canada, 68%; Germany, 12%; Japan, 6%; Mexico, 5%; and other, 9%. Total sulfur imports: Canada, 65%; Mexico, 27%; and other, 8%. Tariff: Item Number Most favored nation (MFN) Non-MFN5/ 12/31/95 12/31/95 Sulfur, crude or unrefined 2503.10.0000 Free Free. Sulfur, all kinds, other 2503.90.0000 Free Free. Sulfur, sublimed or precipitated 2802.00.0000 Free Free. Sulfuric acid 2807.00.0000 Free Free. Depletion Allowance: 22% (Domestic), 22% (Foreign). Government Stockpile: None. Prepared by Joyce A. Ober, (703) 648-7717. SULFUR Events, Trends, and Issues: Conditions affecting the U.S. sulfur industry improved for the second consecutive year. Production, shipments, imports, exports, consumption, and prices increased. Stocks decreased. Supplies were tight throughout the year. At the beginning of the year, one U.S. Frasch producer bought the sulfur assets of the only other U.S. Frasch producer. There was some question as to how long the Texas mine would continue to produce; however, the other operation, off the Louisiana coastline, was expected to operate at or above capacity for the foreseeable future. U.S. demand has been strong, especially for the phosphate fertilizer industry, and world trade was also expanding. Domestic sulfur production is expected to increase slightly for the next few years, with Frasch production remaining relatively stable as long as both mines continue to operate. Recovered production should continue its slow, but consistent growth. Small quantities of sulfur or sulfuric acid recovered from electric powerplants should enter the market within the next few years. Apparent consumption of sulfur is projected to be 14 million tons in 1996. World Production, Reserves, and Reserve Base: Production--All forms Reserves6/ Reserve base6/ 1994 1995e/ United States 11,500 11,800 140,000 230,000 Canada 9,140 9,200 160,000 330,000 China 6,030 6,000 100,000 250,000 France 1,100 1,100 10,000 20,000 Iraq 800 600 130,000 500,000 Japan 2,900 2,900 5,000 15,000 Mexico 2,920 3,000 75,000 120,000 Poland 2,380 2,500 130,000 300,000 Russia 1,830 1,900 NA NA Saudi Arabia 1,600 1,600 100,000 130,000 Spain 702 600 50,000 300,000 Other countries 10,100 10,800 500,000 1,300,000 World total (may be rounded) 51,000 52,000 1,400,000 3,500,000 World Resources: Resources of elemental sulfur in evaporite and volcanic deposits and sulfur associated with natural gas, petroleum, tar sands, and metal sulfides amount to about 5 billion tons. The sulfur in gypsum and anhydrite is almost limitless, and some 600 billion tons are contained in coal, oil shale, and shale rich in organic matter, but low-cost methods have not been developed to recover sulfur from these sources. The domestic resource is about one-fifth of the world total. Substitutes: There are no adequate substitutes for sulfur at present or anticipated price levels; some acids, in certain applications, may be substituted for sulfuric acid. e/Estimated. NA Not available. W Withheld to avoid disclosing company proprietary data. 1/Includes 10 months of Frasch sulfur data. Two remaining months of Frasch data included with recovered sulfur data to conform with proprietary data requirements. 2/Includes corresponding Frasch sulfur data for November and December. 3/Includes Frasch sulfur data. 4/Defined as imports - exports + adjustments for Government and industry stock changes. 5/See Appendix B. 6/See Appendix C for definitions. Mineral Commodity Summaries, January 1996