Energy Surcharge (Natural Gas)
FMC will apply $0.0/lb energy surcharge on invoices for hydrogen peroxide in order to partially offset the impact of the rapid increase in natural gas prices. The amount of the surcharge will be held constant through June 30, 2012, and will be modified quarterly thereafter based on the three-month forward average NYMEX Henry Hub gas price (as of the 15th of the month prior to the beginning of the each calendar quarter) as shown in the table below. When natural gas prices are at a level below $5.00 per MMBTU, the surcharge will be removed. We will add the adjustment as a separate line item on your invoice.
Hydrogen Peroxide Energy Surcharge Table
|
Three-month forward average of NYMEX Henry Hub options prices* ($ per MMBTU) |
Following Calendar Quarter Energy Surcharge |
|
U.S. ($/Lb-100%) Canada(C$/MT-100%) |
|
$10.00/MMTBU and above |
$0.01/lb for each $1.00/MMBTU increase |
$26.00/MT for each $1.00/MMBTU increase |
|
$9.00-$9.99 |
$0.065 |
$169.00 |
|
$8.00-$8.99 |
$0.055 |
$143.00 |
|
$7.00-$7.99 |
$0.045 |
$117.00 |
|
$6.00-$6.99 |
$0.035 |
$91.00 |
|
$5.00-$5.99 |
$0.025 |
$65.00 |
|
2nd Quarter Surcharge |
Average |
|
$.0.0 cents/lb
$0 CDN/MT |
April through June 2012:
$2.412 USD/MMBTU |
Transportation Fuel Surcharge (Diesel Fuel)
Truck Deliveries
FMC will implement fuel surcharges for truck deliveries based on the Department of Energy's, Energy Information Administration (EIA) prior month’s weekly average U.S. diesel fuel price. The DOE diesel price data is available via the website shown below. The fuel surcharge will be adjusted monthly on the 1st of each month.
The fuel surcharges for truck deliveries will be applied via the following schedule:
|
Truck Fuel Surcharge Matrix |
|
|
|
Cents/Gallon |
Surcharge ($/Shipment)
|
|
Diesel Fuel U.S. Avg
|
$/Shipment
|
|
390.1 - 400.0 |
293 |
|
|
|
|
400.1 - 410.0 |
302 |
|
|
|
|
410.1 - 420.0 |
311 |
|
April Average |
$411.50 |
|
420.1 - 430.0 |
320 |
|
|
|
|
430.1 - 440.0 |
329 |
|
|
|
|
440.1 - 450.0 |
338 |
|
|
|
|
Every 10 c/gal Inc |
Add $9 |
|
May 1st Surcharge |
$311 USD
$307 CDN |
Website: http://www.eia.gov/petroleum/gasdiesel/
Railcar Deliveries
The transportation fuel surcharge for rail deliveries will be based on the average daily West Texas Intermediate (WTI) crude oil price for the month immediately preceding the month for which the surcharge applies. The WTI price data is available at the Department of Energy website via the link shown below. The surcharge on rail will be adjusted monthly on the 1st of each month.
The fuel surcharges for rail deliveries will be applied via the following schedule:
|
Rail Fuel Surcharge Matrix |
|
|
|
West Texas Intermediate (WTI) |
Surcharge ($/Shipment)
|
|
Diesel Fuel U.S. Avg
|
$/Shipment
|
|
$98/barrel |
1,275 |
|
|
|
|
$103/barrel |
1,360 |
|
April Average |
$103.02 |
|
$108/barrel |
1,445 |
|
|
|
|
$113/barrel |
1,530 |
|
|
|
|
$5/barrel increase |
Add $85 |
|
May 1st Surcharge |
$1,360 USD |
|
|
|
|
$1,344 CDN |
Website: http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&S=RWTC&f=D
While FMC has absorbed natural gas and fuel cost increases to date, the magnitude of these cost increases has reached the point where we must take action to offset a portion of the impact.