CF Industries inks long-term deals to supply ammonium nitrate

Feb 13 (Reuters) - CF Industries Holdings Inc CF.N , the world's second-largest nitrogen fertilizer producer, said on Thursday that it has agreed to long-term deals to supply ammonium nitrate to customers.

The deals come as Deerfield, Illinois-based CF focuses on nitrogen production after agreeing last year to sell its phosphate business to Mosaic Co MOS.N for $1.4 billion.

CF said it will supply 700,000 to 800,000 tons of industrial-grade ammonium nitrate and ammonium nitrate solution annually to Orica International Pte. Ltd and Nelson Brothers LLC for at least 10 years starting in 2017.

Orica provides commercial explosives and blasting systems to the mining and infrastructure markets, while Nelson manufactures and distributes mining explosives.

The deals provide steady demand for most of CF's production capacity from its Yazoo City nitrogen complex in Mississippi, and will lead to a $65-million reconfiguration of the plant in 2014, the company said.

(Reporting by Rod Nickel in Winnipeg, Manitoba; Editing by Phil Berlowitz)

((rod.nickel@thomsonreuters.com)(1 204 230 6043)(Reuters Messaging: rod.nickel.thomsonreuters.com@reuters.net)(Twitter: @ReutersWinnipeg))

Keywords: CFINDUSTRIES NITROGEN/