<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Amendment No. 9 to
Schedule 13D
Under the Securities Exchange Act of 1934
TERRA NITROGEN COMPANY, L.P.
----------------------------
(Name of Issuer)
Common Units of Limited Partnership Interests
---------------------------------------------
(Title of Class of Securities)
881005 20 1
-------------------
(CUSIP Number)
George H. Valentine
Corporate Secretary
Terra Industries Inc.
Terra Centre
600 Fourth Street
Sioux City, Iowa 51102-6000
(712) 277-1340
-------------------------------
(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
January 2, 2001
--------------------------------
(Date of Event which Requires Filing
of this Statement)
If person has previously filed a statement on Schedule 13G to report the
acquisition which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box [_].
Check the following box if a fee is being paid with the statement [_].
<PAGE>
---------------------- ----------------------
CUSIP No. 13D
881005 20 1
---------------------- ----------------------
------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Terra Nitrogen Corporation
EIN: 72-1159610
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS*
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(D) or 2(E) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
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SOLE VOTING POWER
7
NUMBER OF -0-
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
11,172,414 (See Item 5)
OWNED BY
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING -0-
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
11,172,414 (See Item 5)
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
11,172,414 (See Item 5)
------------------------------------------------------------------------------
CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
12
[_]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
60.4% (See Item 5)
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TYPE OF REPORTING PERSON*
14
CO
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<PAGE>
---------------------- ----------------------
CUSIP No. 13D
881005 20 1
---------------------- ----------------------
------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Terra Capital, Inc. (Due to direct ownership of 2,716,600 Common Units
and solely due to indirect ownership of 11,172,414 Common Units through
its wholly owned subsidiary, Terra Nitrogen Corporation) EIN: 42-1431650
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CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS*
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(D) or 2(E) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF -0-
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
13,889,014 Common Units (See Item 5)
OWNED BY
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING -0-
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
13,889,014 Common Units (See Item 5)
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
13,889,014 Common Units (See Item 5)
------------------------------------------------------------------------------
CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
12
[_]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
75.07% (See Item 5)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON*
14
CO
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<PAGE>
---------------------- ----------------------
CUSIP No. 13D
881005 20 1
---------------------- ----------------------
------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Terra Capital Holdings, Inc. (Solely due to indirect ownership through
its wholly owned subsidiary, Terra Capital, Inc.) EIN: 42-1431905
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS*
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(D) or 2(E) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF -0-
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
13,889,014 Common Units (See Item 5)
OWNED BY
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING -0-
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
13,889,014 Common Units (See Item 5)
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
13,889,014 Common Units (See Item 5)
------------------------------------------------------------------------------
CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
12
[_]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
75.07% (See Item 5)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON*
14
CO
------------------------------------------------------------------------------
<PAGE>
---------------------- ----------------------
CUSIP No. 13D
881005 20 1
---------------------- ----------------------
------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Terra Industries Inc. (Solely due to indirect ownership through its
wholly owned subsidiary, Terra Capital Holdings, Inc.) EIN: 52-1145429
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS*
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(D) or 2(E) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Maryland
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF -0-
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
13,889,014 Common Units (See Item 5)
OWNED BY
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING -0-
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
13,889,014 Common Units (See Item 5)
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
13,889,014 Common Units (See Item 5)
------------------------------------------------------------------------------
CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
12
[_]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
75.07% (See Item 5)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON*
14
CO
------------------------------------------------------------------------------
<PAGE>
Item 1. Security and Issuer.
-------------------
This Amendment No. 9 amends the Schedule 13D dated March 31, 1997 (as
amended by Amendments Nos. 1 through 8, the "Schedule 13D") of the Reporting
Persons relating to Common Units of limited partnership interests (the "Common
Units") of Terra Nitrogen Company, L.P., a Delaware limited partnership
("TNCLP"). The principal executive offices of TNCLP are at 600 Fourth Street,
Sioux City, Iowa 51101.
Item 2. Identity and Background
-----------------------
Not amended.
Item 3. Source and Amount of Funds or Other Consideration.
-------------------------------------------------
Item 3 is hereby amended by the deletion of the existing second
paragraph and substituting in its place the following paragraph:
"The source of funds used or to be used by Terra or its subsidiaries
to acquire additional Common Units is available cash or borrowings under
existing bank facilities. After the completion of Terra Capital's most recent
purchase of Common Units, the covenants in such bank facilities prohibit further
purchases of Common Units by Terra and its subsidiaries. The amount of funds
expended for January 1998 and April 1998 purchases totaled $5.88 million. The
amount of funds expended for the purchases between May 1, 1998 and May 19, 1998
totaled $4.8 million. The amount of funds expended for the purchases between
May 20, 1998 and June 22, 1998 totaled $4.9 million. The amount of funds
expended for the purchases between May 6, 1999 and June 30, 1999 totaled $2.0
million. The amount of funds expended for the purchases between July 1, 1999
and July 30, 1999 totaled $3.8 million. The amount of funds expended for the
purchases between August 1, 1999 and August 31, 1999 totaled $2.1 million. The
amount of funds expended for the purchases between October 30, 2000 and December
20, 2000 totaled $1.98 million. The amount of funds expended for the purchases
between December 21, 2000 and January 2, 2001 totaled $2.08 million."
Item 4. Purpose of Transaction.
----------------------
Item 4 is hereby amended by the deletion of the existing second
paragraph and substituting in its place the following paragraph:
"Terra announced in December 1997 that it may purchase up to 4 million
additional Common Units on the open market and through privately negotiated
transactions. Terra Capital purchased 86,100 Common Units in late January 1998
and 132,300 Common Units in late April 1998 pursuant to the stock buy-back
authority granted by the Terra board of directors. Terra Capital further
purchased 185,300 Common Units between May 1, 1998 and May 19, 1998 pursuant to
the buyback authority. Terra Capital further purchased 192,300 Common Units
between May 20, 1998 and June 22, 1998 pursuant to the buyback authority. Terra
Capital further purchased 203,000 Common Units between May 6, 1999 and June 30,
1999 pursuant to the buyback authority. Terra Capital further purchased 182,400
Common Units between July 1, 1999 and July 30, 1999 pursuant to the buyback
authority. Terra Capital further purchased 223,800 Common Units between August
1, 1999 and August 31, 1999 pursuant to the buyback authority. Terra Capital
further purchased 259,800 Common Units between October 30, 2000 and December 20,
2000 pursuant to the buyback authority. Terra Capital further purchased 240,200
Common Units between December 19, 2000 and January 2, 2001 pursuant to the
buyback authority. Under the terms of the Agreement of Limited Partnership,
Terra has the right to acquire all outstanding Common Units based on market
value when its ownership interest reaches 75%. Its most recent purchases have
increased its
<PAGE>
ownership to 75.07%, thus triggering this right. Although Terra reserves the
right to consider in the future whether to acquire all the Common Units pursuant
to this right, it does not now have any present plan or intention to do so.
However, Terra plans to study the feasibility and potential effects on Terra of
exercising such right, including exploring any necessary financing for the
acquisition of the remaining Common Units and any required amendments to its
bank facilities."
Item 5. Interest in Securities of the Issuer.
------------------------------------
Item 5, section (a) is hereby amended by deleting the second and third
sentences of the first paragraph and replacing them with the following
sentences: "Terra Capital is the direct beneficial owner of 2,716,600 Common
Units and, by virtue of its ownership of all the outstanding common stock of
TNC, may be deemed to possess indirect beneficial ownership of the Common Units
beneficially owned by TNC. Thus, Terra Capital's direct and indirect ownership
in the aggregate represents approximately 75.07% of the outstanding Common
Units."
Item 5, section (b) is hereby further amended by deleting the second
sentence of the first paragraph and replacing it with the following sentence:
"Terra Capital has the power to vote or direct the vote and the power to dispose
of or direct the disposition of the 2,716,600 Common Units beneficially owned by
Terra Capital."
Item 5 is hereby further amended by adding the following table under
section (c)(i) to read as follows:
<TABLE>
<CAPTION>
Purchase Date Number of Price per Unit
------------- --------- --------------
Units
-----
<S> <C> <C>
12/19/00 1,000 $8.0000
12/21/00 14,900 $8.0000
12/22/00 31,900 $8.0000
12/26/00 4,500 $7.9292
12/27/00 4,400 $7.9446
01/02/01 183,500 $8.8750
-------
Total (between 12/19/00 and 01/02/01) 240,200
Total (between 10/30/00 and 01/02/01) 500,000
</TABLE>
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect
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to Securities of the Issuer.
----------------------------
Not amended.
Item 7. Material to be Filed as Exhibits.
--------------------------------
Not amended.
<PAGE>
SIGNATURE
After reasonable inquiry and to the best of our knowledge and belief,
the undersigned certifies that the information set forth in this Statement is
true, complete and correct.
Date: January 4, 2001
TERRA NITROGEN CORPORATION
By /s/ George H. Valentine
-------------------------------------
George H. Valentine
Its: Vice President and General Counsel
TERRA CAPITAL, INC.
By /s/ George H. Valentine
-------------------------------------
George H. Valentine
Its: Vice President and Corporate Secretary
TERRA CAPITAL HOLDINGS, INC.
By /s/ George H. Valentine
-------------------------------------
George H. Valentine
Its: Vice President and Corporate Secretary
TERRA INDUSTRIES INC.
By /s/ George H. Valentine
-------------------------------------
George H. Valentine
Its: Senior Vice President, General Counsel and
Corporate Secretary
