Q3 2025 CVR Partners LP Earnings Call

Greetings and welcome to the CVR Partners. Third quarter 2025 conference call.

At this time, all participants are in listen-only mode.

A brief question and answer session. We'll follow the formal presentation.

As a reminder, this conference is being recorded.

It is now my pleasure to introduce your your host. Richard Roberts, vice president of fpna, an investor relations.

Richard Roberts: Thank you, Eric. Good morning, everyone. We appreciate your participation in today's call. With me today are Mark Pytosh, our Chief Executive Officer, Dane Neumann, our Chief Financial Officer, and other members of management. Prior to discussing our 2025 third quarter results, let me remind you that this conference call may contain forward-looking statements as that term is defined under federal securities laws. For this purpose, any statements made during this call that are not statements of historical facts may be deemed to be forward-looking statements. You are cautioned that these statements may be affected by important factors set forth in our filings with the Securities and Exchange Commission and in our latest earnings release. As a result, actual operations or results may differ materially from the results discussed in the forward-looking statements.

Thank you, sir. You may begin.

Thank you, Eric. Good morning everyone. We appreciate your participation in today's call.

With me today are Mark pytosh our chief executive officer, Dan Newman, our Chief Financial Officer and other members of management.

Prior to discussing our 2025 third quarter results. Let me remind you of this conference. Call may contain forward-looking statements as that term is defined under Federal Security laws.

For this purpose. Any statement that's made during this call that are not statements of historical facts. May be deemed to be forward-looking statements.

Richard Roberts: We undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise, except to the extent required by law. This call also includes various non-GAAP financial measures. The disclosures related to such non-GAAP measures, including reconciliation to the most directly comparable GAAP financial measures, are included in our 2025 third quarter earnings release that we filed with the SEC for the period. Let me also remind you that we are a variable distribution MLP. We will review our previously established reserves, current cash usage, evaluate future anticipated cash needs, and may reserve amounts for other future cash needs as determined by our General Partner's Board.

You are cautioned that these statements may be affected by important factors set forth in our filings for the Securities and Exchange Commission and that our latest earnings release as a result, actual operations or results May differ materially from the results discussed in the forward-looking statements.

We undertake no obligation to publicly update, any forward-looking statements or there as a result of new information, future events or otherwise, except to the extent required by law.

This call also includes various non-gaap Financial measures the disclosure is related to such non-gaap measures, including reconciliation, to the most directly comparable. Gaap, Financial measures are included in our 2025, third quarter earnings release that we filed with the SEC for the period.

Richard Roberts: As a result, our distributions, if any, will vary from quarter to quarter due to several factors including but not limited to operating performance, fluctuations in the prices received for finished products and capital expenditures, and cash reserves deemed necessary or appropriate by the Board of Directors of our General Partner. With that said, I'll turn the call over to Mark Pytosh, our Chief Executive Officer. Mark?

And they also remind you that we are a variable distribution NLP. We will review our previously, established reserves current cash, usage evaluate future. Anticipated, cash needs and may Reserve amounts for other future cash needs as determined by our general Partners board.

As a result, our distributions, if any will vary from quarter to quarter due to several factors. Including but not limited to operating performance fluctuations in the prices received or finished products. Capital expenditures, and cash, reserves, deem necessary, or appropriate by the board of directors of our general partner.

Mark Pytosh: Thank you, Richard. Good morning everyone and thank you for joining us for today's call. The summarized financial highlights for the third quarter 2025 include net sales of $164 million, net income of $43 million, EBITDA of $71 million, and the board of directors declared a third quarter distribution of $4.02 per common unit, which will be paid on November 17 to unitholders of record at the close of the market on November 10. For the third quarter 2025, our consolidated ammonia plant utilization was 95%, which was impacted by some planned and unplanned downtime at both facilities during the quarter. Combined ammonia production for the third quarter of 2025 was 208,000 gross tons, of which 59,000 net tons were available for sale, and UAN production was 337,000 tons.

With that said, I'll turn the call over to Mark our chief executive officer mark.

Thank you, Richard. Good morning, everyone. And thank you for joining us for today's call.

To summarize financial highlights for the third quarter of 2025 include net sales of 164 million net, income of 43 million, ebitda of 71 million. And the board of directors, declared a third quarter distribution of 4 dollars and 2 cents per common unit, which will be paid on November 17th, the market on November 10th.

For the third quarter of 2025 our Consolidated, ammonia plant utilization was 95%, which was impacted by some planned and unplanned downtime at both facilities during the quarter.

Mark Pytosh: During the quarter, we sold approximately 328,000 tons of UAN at an average price of $348 per ton and approximately 48,000 tons of ammonia at an average price of $531 per ton. Relative to the third quarter of 2024, sales volumes were down slightly, primarily as a result of low inventory levels at the end of the second quarter following the strong demand in the first half of 2025. UAN and ammonia prices increased 52% and 33% respectively from the prior year period, driven by tight inventory levels across the system as a result of elevated demand and reduced supply associated with domestic and international production outages. Overall, we had a strong third quarter with UAN pricing above levels we saw in the spring, and we believe the setup is favorable for the remainder of the year and into the first half of 2026.

Combined ammonia production for the third quarter of 2025 was 208,000 gross tons, of which 59,000 net tons were available for sale, and UAM production was 337,000 tons. During the quarter, we sold approximately 328,000 tons of UAN at an average price of $348 per ton.

And approximately 48,000, tons of ammonia, in an average price of 531 per ton.

Relative to the third quarter 2024 sales volumes were down slightly primarily. As, as a result of low inventory levels, at the end of the second quarter, following the strong demand in the first half of 2025,

Uan and ammonia prices increased 52% and 33% respectively. From the prior year period driven by tight inventory levels across the system. As a result of elevated demand and reduced Supply associated with domestic and international production outages.

Mark Pytosh: Domestic and global inventories of nitrogen fertilizer remain tight and that has been supportive of higher prices, which I will discuss further in my closing remarks. I will now turn the call over to Dane to discuss our financial results.

Overall, we had a strong third quarter with uan pricing above levels. We saw in the spring and we believe the setup is favorable for the remainder of the year and into the first half of 2026.

Dane Neumann: Thank you, Mark. For the third quarter of 2025, we reported net sales of $164 million and operating income of $51 million. Net income for the quarter was $43 million, $4.08 per common unit, and EBITDA was $71 million relative to the third quarter of 2024. The increase in EBITDA was primarily due to a combination of higher UAN and ammonia sales pricing. Direct operating expenses for the third quarter of 2025 were $58 million. Excluding inventory impacts, direct operating expenses increased by approximately $7 million relative to the third quarter of 2024, primarily due to higher natural gas and electricity costs and some preliminary spending associated with Coffeyville's planned turnaround. During the third quarter of 2025, we spent $13 million on capital projects, of which $7 million was maintenance capital.

Has been supportive of higher prices, which I will discuss further in my closing remarks. I will now turn the call over to deign to discuss our financial results.

Thank you, Mark. For the third quarter of 2025, we reported net sales of $164 million and operating income of $51 million.

That income for the quarter was 43. Million 4.8, cents per common unit and Eva de was 71 million.

Relative to the third quarter of 2024. The increase in Evita was primarily due to a combination of higher and and ammonia sales pricing

Direct operating expenses for the third quarter of 2025, or 58 million.

Excluding inventory impacts direct operating expenses increased by approximately 7 million relative. To the third quarter of 2024 primarily due to higher natural, gas, and electricity costs and some preliminary spending associated with coffee bills, plan, turnaround,

Dane Neumann: We estimate total capital spending for 2025 to be approximately $58 to $65 million, of which $39 to $42 million is expected to be maintenance capital. We anticipate a significant portion of the profit and growth capital spending plan for 2025 will be funded through cash reserves taken over the past 2 years. We ended the quarter with total liquidity of $206 million, which consisted of $156 million in cash and availability under the ABL facility of $50 million. Within our cash balance of $156 million, we had approximately $28 million related to customer prepayments for the future delivery of product. In assessing our cash available for distribution, we generated EBITDA of approximately $71 million, had net cash needs of $34 million for interest costs, maintenance, capex and other reserves, and had $6 million released from previous reserves.

During the third quarter of 2025, we spent 13 million on capital projects of which 7 million was made as capital. We estimate total Capital spending for 2025 be approximately 58 to 65 million of which 39 to 42 million is expected to be maintenance capital.

We anticipate a significant portion of the profit and growth capital spending plan for 2025 will be funded through cash reserves taken over the past two years.

We ended the quarter with total liquidity of 206 million which consisted of 156 million in cash and availability under the ebl facility of 50 million.

Within our cash balance of $156 million, we had approximately $28 million related to customer prepayments for the future delivery of product.

Assessing our cash available for distribution. We generated ibaa of approximately 71 million and net cash needs of 34 million for interest costs, maintenance capex, and other Reserves.

Dane Neumann: As a result, there was $42 million of cash available for distribution and the Board of Directors of our General Partner declared a distribution of $4.02 per common unit. Looking ahead to the fourth quarter of 2025, we estimate our ammonia utilization rate to be between 80% and 85%, which will be impacted by the planned turnaround currently underway at the Coffeyville facility. We expect direct operating expenses excluding inventory and turnaround impacts to be between $58 and $63 million and total capital spending to be between $30 and $35 million. Turnaround expense is expected to be between $15 and $20 million. With that, I will turn the call back over to Mark.

And at 6 million released from previous reserves. As a result, there was 42 million of cash available for distribution and the board of directors of our general partner compared to the distribution of $4.22 per common unit.

Looking at the fourth quarter of 2025, we estimate our ammonia utilization rate to be between 80 and 85%, which will be impacted by the plan. Turnaround currently underway at the coffee Bill facility.

The expect direct operating expenses. Excluding inventory and turnaround, impacts be between 58 and 63 million, and total Capital spending to be between 30 and 35 million.

Turnaround expenses are expected to be between $15 million and $20 million.

Mark Pytosh: Thanks. Dane, harvest is currently on schedule and nearing completion. The USDA is estimating yields of approximately 187 bushels per acre on 98.7 million acres of corn and inventory carryout levels of approximately 13%. Soybean yields are estimated to be 54 bushels per acre on 81 million acres planted with inventory carryout levels of 7%. Although the soybean numbers will likely be impacted by ongoing trade friction with China, both of these carryout estimates are at or below the 10-year averages. Grain prices have remained at the lower end of the last 12-month range, driven primarily by expectations of large crop production in Brazil and North America this year and potential trade disputes where the purchase of grains may be used as a negotiating tool when reaching trade agreements. December corn prices are approximately $4.30 a bushel and November soybeans are approximately $10.90 per bushel.

With that. I will turn the call back over to Mark. Thanks. Dane Harvest is currently on schedule and nearing completion, the USDA is estimating yields of approximately 187, bushels per acre. On 98.7 million acres of corn and inventory carry out levels of approximately 13%.

Soybean yields are estimated to be 54 bushels per acre on 81 million acres, planted with inventory carry-out levels of 7%.

Although, the soybean numbers will likely be impacted by ongoing trade friction with China.

Both of these carry out estimates are at or below the 10-year averages grain prices have remained. At the lower end, the last 12-month range driven, primarily by expectations of large crop production in Brazil and North America this year and potential trade disputes where the purchase of grains may be used as a negotiating tool and reaching trade agreements.

Mark Pytosh: The Trump administration and congressional leaders have indicated they intend to provide a subsidy program for farmers to help offset lower grain prices and higher input cost. Geopolitical conflicts are continuing to impact the nitrogen fertilizer industry. In the third quarter, Ukraine continued to target nitrogen fertilizer plants and export infrastructure in Russia. After the large planting seasons in the U.S. and Brazil and the loss of production due to geopolitical factors, fertilizer inventory levels across the industry have been tight and are taking time to replenish. We expect these conditions to persist into the spring of 2026. The wild card continues to be the potential for tariffs on Russian fertilizer imports that could have significant impacts on pricing in the near term. Natural gas prices in Europe have been steady since our last earnings call and remained around $11 per MMBtu currently, while U.S.

December corn. Prices are approximately 4 dollars and 30 cents a bushel in November soybeans are approximately $10.90 per bushel.

The Trump Administration and Congressional leaders have indicated they intend to provide a subsidy program for Farmers to help offset lower grain prices and higher input cost.

Geopolitical conflicts are continuing to impact the nitrogen fertilizer industry in the third quarter of 2025. There continue to be targeted attacks on nitrogen fertilizer plants and export infrastructure in Russia.

After the large planting seasons in the U.S. and Brazil and the loss of production due to geopolitical factors, fertilizer inventory levels across the industry have been tight and are taking time to replenish.

We expect these cons, these conditions to persist into the spring of 2026.

The wildcard continues to be the potential for tariffs on Russian. Fertilizer Imports. That could have significant impacts on pricing in the near term.

Mark Pytosh: prices continue to range between $3 and $4 per MMBtu as we near winter. Europe has refilled its natural gas inventories at a lower level than normal and there's a risk of prices moving higher if the winter is cooler than expected. The cost of producing ammonia in Europe has remained durably at the high end of the global cost curve and production remains below historical levels, which has created opportunities for U.S. Gulf Coast producers to export ammonia to Europe for upgrade. We continue to believe Europe faces structural natural gas supply issues that will likely remain in effect through 2026. We are nearing the completion of the planned turnaround at our Coffeyville facility. In the early phases of the turnaround, we experienced an ammonia release, which we currently anticipate could delay the completion of turnaround work by a few days relative to the original schedule.

Natural gas prices in Europe have been steady since our last earnings call and remained around $11. Per mmbtu currently while us prices continue to range between 3 and 4 dollars per mmbtu.

as we near winter Europe has refilled, its natural, gas inventory at a lower level than normal, and there's a risk of prices, moving higher, if the winter is cooler than expected,

The cost to produce ammonia in Europe has remained durably at the high end of the global cost curve and production remains below historical levels which has created opportunities for us Gulf Coast Producers to export ammonia to Europe for upgrade.

We continue to believe Europe faced structural natural gas supply issues that will likely remain in effect through 2026.

Mark Pytosh: We expect the facility to resume full production in the next few weeks. As a reminder, we are currently planning for a 35-day turnaround at our East Dubuque facility in the third quarter 2026. At our Coffeyville facility, we continue to work on a detailed design and construction plan to allow the plant to utilize natural gas and additional hydrogen from the adjacent Coffeyville refinery as alternative feedstocks to third-party pet coke. This project could also expand Coffeyville's ammonia production capacity by up to 8%. We also continue to execute certain debottlenecking projects at both plants that are expected to improve reliability and production rates. These include water quality upgrade projects at both plants and the expansion of our DEF production and loadout capacity.

We are nearing the completion of the plan. Turnaround at our coffee Bill facility, in the early phases of the turnaround. We experienced an ammonia release, which we currently anticipate could delay. The completion of turnaround work by a few days relative to the original schedule.

We expect the facility to resume full production in the next few weeks. As a reminder, we are currently planning for a 35-day turnaround at our Easter be facility in the third quarter 2026.

At our Coffeyville facility. We continue to work on a detailed design and construction plan to allow the plant to utilize natural, gas and additional hydrogen from the adjacent Coffeyville. Refinery is alternative feed stocks to third-party pet Coke.

This project could also expand coffee bills, ammonia production capacity by up to 8%.

We also continue to execute on certainty, bottlenecking projects at both plants that are expected to improve reliability and production rates.

Mark Pytosh: The goal of these projects is to support our target of operating the plants at utilization rates above 95% of nameplate capacity, excluding the impact of turnarounds. The funds needed for these projects are coming from the reserves taken over the last two years, and the board elected to continue reserving capital in the third quarter. While the board looks at reserves every quarter, I would expect them to continue to elect to reserve some capital. We anticipate holding higher levels of cash related to these projects in the near term as we ramp up execution and spending, which we expect will take place over the next two to three years. The third quarter continued to demonstrate the benefits of focusing on safety, reliability, and performance in the quarter.

These include water quality. Upgrade projects in both plants and the expansion of our de at production and load out capacity.

The goal of these projects, this is the support, our Target of operating. The plants that utilization rates above 95% of the name plate capacity, excluding the impact to turnarounds

The funds needed for these projects are coming from the reserves taken over the last two years, and the board elected to continue reserving capital in the third quarter.

While the board looks at reserves every quarter, I would expect them to continue to do elect to reserve some capital.

And we anticipate holding higher levels of cash related to these projects in the near term as we ramp up execution and spending, which we expect will take place over the next 2 to 3 years.

Mark Pytosh: We executed on all the critical elements of our business plan, which include safely and reliably operating our plants, with a keen focus on the health and safety of our employees, contractors, and communities, prudently managing cost, being judicious with capital, maximizing our marketing and logistics capabilities, and targeting opportunities to reduce our carbon footprint. In closing, I would like to thank our employees for their safe execution during a few brief outages in the quarter, achieving 95% ammonia utilization, and the solid delivery on our marketing and logistics plans, resulting in a distribution of $4.02 per common unit for the third quarter. With that, we're ready to answer any questions. Eric.

The third quarter continued to demonstrate the benefits of focusing on safe safety, reliability and performance. In the quarter. We executed on all the critical elements of our business plan which includes safely and rely reliably. Operating our plants with a keen focus on the health and safety of our employees contractors and communities, prudently managing cost being judicious with capital maximizing, our marketing and Logistics capabilities.

Targeting opportunities to reduce our carbon footprint.

In closing, I would like to thank our employees for their safe execution. During a few brief outages in the quarter achieving 95% ammonia utilization and the solid delivery on our marketing and Logistics plans resulting in a distribution of 4 dollars and 2 cents per common unit for the third quarter.

With that, we're ready to answer any questions. Eric.

Operator: Thank you. We will now be conducting a question and answer session. If you would like to ask a question, please press STAR followed by the number one on your telephone keypad. Our first question comes from the line of Rob McGuire with Granite Research. Please go ahead.

Thank you. We will now be conducting a question and answer session.

Uh, if you would like to ask a question, please press star. Followed by the number 1 on your telephone keypad.

our first question comes from the line of

Rob Maguire with granite research.

Please go ahead.

Rob McGuire: Good morning, Mark, Dane and Richard. Thank you for taking my questions. Could you, Mark, go back to the Coffeyville natural gas feedstock project? I apologize, but can you just clarify when you anticipate that to start? Are you at a point where you can talk to us about total cost for the project and what you expect in terms of returns?

Good morning, Mark Dean and Richard. Thank you for taking my questions. Um, could you, Mark, go back to the coffee field, uh, natural gas feedstock project? I apologize, but can you just, I think I missed, when did you anticipate that to start? Are you at a point where you can talk to us about total cost for the project and what you expect in terms of returns?

Mark Pytosh: I'm not ready to talk about finalizing the final cost and returns yet. We're in detailed engineering, so we need to confirm some things about that in terms of configuration or reconfiguration and the infrastructure needs, but everything looks like it's penciling out the way we thought it would. It's a combination project. To be clear, part of it is taking additional hydrogen from the refinery. The refinery has a reformer unit. We are talking about taking additional hydrogen from the refinery plus potentially replacing pet coke as a feedstock for a portion with natural gas. The hydrogen component would be an increase in our production capacity. It's a combination project that includes the ability to replace feedstock plus bring additional hydrogen, which means additional ammonia capacity. That's what I've been referring to in my comments about up to 8% increase in our production capacity.

um, I'm not ready to talk about, you know, finalizing the uh, um, the final cost and uh returns yet the um,

We're in detailed engineering. So we need to kind of confirm some things about that, you know, in terms of configuration or reconfiguration and uh, the infrastructure needs, um, you know, but uh, everything looks like it's kind of pencil. Excuse me, penciling out the way we thought it would. Um and uh, that's a it's a combination project to be clear. Part of it is taking additional hydrogen from the

Mark Pytosh: We have been reserving for that project, and we will have the capital available set aside for that. I'm expecting by the next call to be able to talk with more specifics on that project and moving ahead there. So far, all the engineering work that's coming back and the construction plans look on track with what we thought, what the original plan was.

Project and moving ahead there but it so far all the engineering work that's coming back in a construction plans look you know on track with what we thought. Um you know what the original plan was

Rob McGuire: Thank you. I appreciate that. Shifting gears, any concerns about drought conditions impacting ammonia runs in this ammonia application season?

Well, thank you. I appreciate that. And shifting gears, uh, any concerns about drought conditions impacting ammonia runs in in this, uh, ammonia application season?

Mark Pytosh: Not in the markets where we're placed. We've had some moisture here the last week, particularly the big ammonia run for us is up in the northern plains around East Dubuque, and there's been moisture. I think conditions are as close to perfect as we could predict because we've had, you know, the harvest is basically complete there, so we've emptied the fields, the soil temperatures are down and moisture's come in in the last week. That combination is about perfect conditions. I'm expecting a big fall ammonia run. The customers are telling us that we have a good book of business already, but people are coming in now with additional cash orders. I expect really a fall ammonia run. I'm very optimistic.

Uh, not not in the markets where we're placed. Um, we've had some moisture here in the last week. Uh, particularly on the big among your run for us is up in the Northern Plains around East of UK and there was, uh, there's been moisture. So I actually, uh, I think conditions are as close to perfect, as, you know, we could predict, uh, because we've had, uh, uh, you know, we've the Harvest is basically complete there. So we've emptied the fields, the soil temperatures are down, and moisture has come in in the last week, and that combination is about perfect conditions. And I'm, I'm expecting a big fall ammonia run. Um, you know, they're, uh, the customers are telling us that we have a good book of business already, but people are coming in now, um, with additional cash orders and so I expect a, a really a good of fall ammonia run. So I'm I'm very optimistic.

Rob McGuire: Wonderful. Moving forward to that question, how significant of an impact do you think it'll be for the acreage to be down this coming season, at least on anticipated acreage? Is it simply that inventories are down, supply is tight, so you're not concerned at all about selling your volume at elevated prices, or will there be an impact, maybe even on imports?

Wonderful. And uh, I mean kind of

Just uh, moving forward to that. Question is just how significant of an impact. Do you think it'll be for for the acreage to be down this coming season at least on an anticipated acreage? And you know is it is it simply that inventories are down supplies tight so you're not concerned at all about selling your volume at elevated prices or will there be an impact? Maybe even on Imports.

Mark Pytosh: There's a couple different layers to that answer. Number one, we've been expecting, you know, that we were thinking that the acreage, corn acreage, this is corn acreage, would drop next year. I'm not as sure now based on, you know, I'm still reading what happened this morning over in Korea with Trump and Xi. The feeling in the marketplace is that the corn acreage won't drop as much because there's concern about what is the, you know, what are the end markets for soybeans. Maybe there's going to be more corn acres just on a defensive approach to protect against trade war behavior. I actually think that the corn acreage might surprise on the upside versus, you know, a drop a lot of people were talking about, drop to the low 90s, which is still great.

Um, I'm I. So there's a, there's a couple different layers to that the answer to that number 1. Um, you know, we've been expecting a, you know that we were thinking that the acreage corn acreage. This is corn. Acreage would drop next year. Um, I'm I'm not that sure now, uh, based on, you know, well, I I'm still reading what happened this morning over in, uh, Korea with Trump and she but, um,

Mark Pytosh: That's a great corn run, but it may not drop as far because I think farmers are of the belief that maybe the end markets will be restricted for soybean exports. We may end up in a better answer there. I would tell you that if you look at the inventory balances, we're already, we're tight. I think, you know, lower acreage, given where we are from an inventory perspective, probably won't impact as much in 2026 as it normally would because, quite frankly, there's a rush to try to replenish what we have. You probably saw the announcement that Nutrien has shut down one of the Trinidad plants, which is an importer to the U.S., and that's going to affect the replenishment timeframe. I'm not terribly concerned about the acreage. We watch it closely. Right now I think the market is in a position to absorb that.

The feeling in the marketplace is that the corn acreage won't drop as much because there's concern about what is the, you know, what are the end markets for soybeans? And so, maybe there's going to be more corn Acres, just on a defensive approach to protect against trade trade, War behavior. Um, and so, I actually think that the corn acreage might surprise on the upside versus, you know, a drop. You know, a lot of people were talking about dropped to the low 90s, uh, which is still great. You know, that's that's a great, uh, corn run but

It may not drop as far because I think farmers are of the belief that maybe the, the end markets will be restricted for soybeans exports. So, uh, we may end up in a better answer there. I would tell you that, you know, if you look at the inventory balances, um, you know, we we're already, you know, we're tight and I think, you know, lower acreage given where we are from an inventory perspective, probably won't impact as much in 26 as it normally would because quite frankly, you know, there's a rush to try to replenish what we have. And you probably saw the announcement that, uh, nutrient is shut down 1 of the Trinidad plants, which is, is an importer to the US. Um, and so that's, you know, that's going to affect the replenishment time frame. So, I, I'm not terribly concerned about the acreage, um, you know, we watch it closely but, but right now, uh, I think the market is in a position to absorb that.

Rob McGuire: That's really interesting. With regards to Trinidad, and just looping Russia in on imports, are you seeing an impact in the marketplace on those imports at this point in time?

But that that's really interesting. Uh and then with regards to the Trinidad and and it's just looping Russia in on Imports. Are you seeing an impact in the marketplace?

Mark Pytosh: We have not seen any impact on Russian imports. In fact, Russia is particularly, like in UAN, Russia is the marginal producer in the marketplace and they've been exporting the U.S. in size. There's been no effect. The fear factor in the market is if there's somehow a tariff or sanctioning of fertilizer coming to the market, that could be a big event, you know, affecting supply. That's a fear factor, but we haven't seen any signs. During the course of this year, even with all the geopolitical events, there's been no restriction on the imports of Russian. I'll focus more on UAN, but there's urea too. Russian UAN has been a big factor in the U.S.

Uh, on those Imports at this point in time.

Factor in the US.

Rob McGuire: That's really helpful. Mark, last question, I certainly won't hold you to this, but I'd love to hear what your outlook is for the price of ammonia, UAN, and urea heading into fourth quarter.

Well, that's really helpful and our last question, and I certainly won't hold you to this, but I'd love to hear what your outlook is for the price of Ammonia uan and urea heading into fourth quarter.

Mark Pytosh: We never give out pricing for those products, but it's going to be a solid quarter. We've seen a strong market since the UAN field season and the ammonia prepay. Pricing will be higher in the fourth quarter versus Q3, which it normally would be. We'll see that show up in the results. I'm optimistic. I'm not ready to prognosticate on pricing for spring, but I'm optimistic about the supply-demand balance and what we're going to see there. I expect these sorts of market conditions to carry through 1H26.

Um, you know, it's, um, you know, we never give out pricing for the, you know, for those products. But it's going to be it's going to be a solid quarter. Um, and so, uh, we've seen a strong Market since, um, you know, uh, those the UA in the field season and the ammonia prepay. So, uh, pricing will be higher, um, in the fourth quarter versus 3 Q, which it, you know, normally would be. Um, so we're we'll see that, uh, show up in the, in the results. And I'm, I'm optimistic, I'm not ready to prognosticate on pricing for spring, but I'm optimistic about the supply, demand balance.

And what we're going to see there. So I I expect this kind of these sorts of market conditions to carry through the first half of 26.

Rob McGuire: That was really helpful. Thank you so much.

Mark Pytosh: Thanks, Rob.

Well, all that was really helpful. Thank you so much.

Thanks Rob.

Operator: Thank you. We have reached the end of the question and answer session. I'd now like to turn the floor back over to management for closing comments.

Mark Pytosh: Thank you everybody for participating in the call today, and we look forward to reviewing our fourth quarter results with you in February. Have a nice day.

Thank you. We have reached the end of the question-and-answer assessment. I'd now like to turn the floor back over to management for closing comments.

Well, thanks everybody for uh, participating in the call today, and we look forward to reviewing our fourth quarter results with you. In February, have a nice day.

Operator: Ladies and gentlemen, this concludes today's call. You may disconnect your lines at this time. Thank you for your participation and have a wonderful day.

Ladies and gentlemen, this concludes today's call. You may disconnect your lines at this time. Thank you for your participation and have a wonderful day.