Project Overview
When Dyno Nobel shut down nitric acid production at its Battle Mountain, Nevada facility in 2010, the company faced two challenges. It needed to recover value from the idled process equipment while clearing most of the production complex for the site's planned conversion to terminal operations.
Phoenix Equipment purchased both the 350 TPD nitric acid plant and the associated ammonium nitrate plant outright, assuming the resale and removal risk. Phoenix marketed the assets internationally and ultimately sold the complete nitric acid plant to a fertilizer producer in Turkey. The project also included buyer due diligence, dismantlement, match-marking, packing, and transportation from Nevada to the Port of Houston. Equipment from the ammonium nitrate operation was sold for parts where possible, with the balance scrapped.
The Challenge
Dyno Nobel had operated the Battle Mountain facility to produce ammonium nitrate for the regional mining industry. A downturn in mining and reduced ammonium nitrate demand led to the shutdown of the nitric acid plant in 2010, after which the facility was mothballed.
The site included the nitric acid plant, an ammonium nitrate neutralizer plant and prill tower, and ammonium nitrate storage and loading facilities. Dyno Nobel planned to permanently shutter the production operation and convert the property to terminal use. Phoenix had to determine different disposition paths for the process assets while working toward that larger site-clearance objective. The nitric acid plant had potential for relocation, while the ammonium nitrate plant would ultimately require a combination of equipment sales and scrap recovery. The AN storage and loading facilities and several support buildings needed to remain for the site's future use.
Finding the Right Buyer
The nitric acid plant used the Chemico mono-high-pressure process and was designed to produce 350 tons per day of 57% nitric acid. Major equipment included a steam-turbine-driven Ingersoll-Rand compressor train and the plant's absorber tower.
Phoenix marketed the plant internationally for approximately two years and developed qualified prospective buyers in several countries. The eventual buyer, a Turkish fertilizer producer, made several site visits and conducted extensive technical due diligence before completing the acquisition. The evaluation included a third-party inspection of the compressor train and nondestructive testing of the absorber and other key vessels.
For the buyer, the existing plant offered capital and lead-time savings, an established process design, and a capacity that fit its requirements compared with developing a new plant. The buyer planned a major refurbishment before returning the relocated facility to service.
Preparing the Plant for Relocation
Once the sale was completed, Phoenix was responsible for preparing the nitric acid plant for an international move. Equipment and components were systematically dismantled and match-marked so the plant could be reassembled after relocation.
The work also required careful preparation before dismantlement could begin. Because the facility had processed nitric acid and ammonium nitrate, the team had to remain alert for residual process materials and ensure equipment was safe before removal, packing, and transportation.
Dismantlement & Multimodal Transport
Moving a complete process plant from Battle Mountain to the Port of Houston required different transportation methods depending on the size and characteristics of the equipment. More than 10 sea containers were used for piping and smaller components, while large and oversized equipment required more than 25 truckloads.
The largest pieces required a different solution. The absorber tower and plant boiler were transported by rail from Nevada, adding a third transportation mode to the relocation. Phoenix completed the dismantlement and transportation from Battle Mountain to the Port of Houston over approximately four to five months.
Completing the Site-Clearance Scope
Selling and removing the nitric acid plant did not complete Phoenix's obligation to Dyno Nobel. Phoenix had purchased both plants outright and was responsible for clearing the production complex, including equipment that would not be relocated. The ammonium nitrate plant was sold for parts where possible, with the balance scrapped, and the removal scope extended to the tops of the concrete foundations. The AN storage facilities, loading racks, office, and small warehouse/shop remained in place for the site's continuing terminal operations.
Dyno Nobel wanted the site-clearance work completed within approximately 12 to 15 months following the sale. Phoenix managed the different disposition paths within the same project, from preserving and relocating the complete nitric acid plant to recovering individual AN assets and removing the remaining production equipment.
Project Outcome
The approximately $6.5 million project allowed Dyno Nobel to clear the former production areas while retaining the storage, loading, and support infrastructure needed for terminal operations. The Turkish fertilizer producer acquired an existing 350 TPD nitric acid plant that could be refurbished and redeployed with capital and lead-time advantages compared with developing comparable new capacity.
What began as a mothballed production complex ultimately followed several disposition paths. The nitric acid plant was preserved for reuse, equipment from the ammonium nitrate operation was recovered where practical, and the remaining production assets were removed as part of the site-clearance scope.
Project Highlights
- Client: Dyno Nobel
- Location: Battle Mountain, Nevada
- Plant: 350 TPD Nitric Acid Plant
- Process: Chemico Mono-High-Pressure
- Product: 57% Nitric Acid
- Plant Shutdown: 2010
- Phoenix Acquisition: 2010
- Marketing Period: Approximately 2 years
- Buyer: Turkish Fertilizer Producer
- Destination: Turkey
- Dismantlement & Transport: Approximately 4–5 months
- Logistics: 10+ sea containers, 25+ truckloads, plus rail transport
- Additional Scope: Ammonium nitrate plant asset recovery and removal
- Site-Clearance Requirement: Approximately 12–15 months following sale
- Project Value: Approximately $6.5 million
One Site, Different Asset Strategies
A shutdown process complex does not always have a single disposition path. At Battle Mountain, the nitric acid plant justified preservation and international relocation as a complete production unit. Equipment from the ammonium nitrate operation could be sold individually, while the remaining material was removed through the site-clearance scope. Other infrastructure stayed in place for the property's next use.
Identifying those different paths before dismantlement allowed Phoenix to preserve the assets with viable secondary-market demand while still meeting the larger site-clearance requirement. The result was a complete nitric acid plant finding a new industrial use in Turkey while Dyno Nobel prepared the former production areas for terminal operations.