WHAT IS IT?
Sulfur is a yellow non-metallic element produced as a mandatory byproduct of crude oil and natural gas processing (to meet low-sulphur fuel specifications). It is not mined economically anymore — virtually all supply comes from petroleum refining and gas sweetening.
FORMS
Prilled Sulfur: Small spherical pellets 2–6mm. Free-flowing, dusty. Common export form.
Granular Sulfur: Larger granules, harder, less dust. Premium over prilled.
Liquid Sulfur: Transported molten at 130–150°C in heated tankers. Cheapest form for nearby markets.
SUPPLY DYNAMICS
Sulfur is a by-product — refiners and gas processors MUST remove it regardless of price. This means supply is largely price-inelastic and driven by hydrocarbon processing volumes, not sulfur market conditions. OPEC+ cuts reduce refinery runs and sulfur output simultaneously.
KEY USES
Sulfuric acid (H₂SO₄) production — primary use (90%+ of sulfur goes to H₂SO₄)
Fertilizer chain: Sulfuric acid + phosphate rock → phosphoric acid → DAP/MAP/SSP
Rubber vulcanisation
Chemical manufacturing
Mining (leaching copper, uranium)
TRADE CORRIDORS
Major exporters: Middle East (Saudi Arabia, UAE, Qatar), Russia, Canada, Kazakhstan
Major buyers: Morocco (OCP for phosphate fertilizers), India, China, Australia, Brazil
Tetra relevance: Middle East origin. East Africa fertilizer market is a downstream consumer.
PRICING BASIS
No formal exchange. Assessed by ICIS and Argus. FOB Vancouver, FOB Middle East Gulf, CFR Morocco main reference points. Highly volatile — can move $100/MT in weeks.
SPECIFICATIONS
Sulfur purity: min 99.5% or 99.9%
Moisture: max 2%
Ash: max 0.03%
Acidity (as H₂SO₄): max 0.003%
Carbon: max 0.05%