CF Industries Eyes New Carbon-Capture Ammonia Complex

The company is considering plans to erect a new blue ammonia manufacturing facility in Ascension Parish, LA.

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The headquarters of CF Industries Holdings Inc. in Deerfield, IL. Representative image.Image courtesy of Kristoffer Tripplaar / Alamy Stock Photo

Energy firm CF Industries is mulling over plans for a new $2 billion blue ammonia manufacturing site in Ascension Parish, LA that would be jointly operated with Mitsui & Co. Ltd., a release issued by Louisiana Economic Development (LED) announced this week.

The facility would utilize carbon capture and sequestration to cut carbon emissions in ammonia production processes. Blue ammonia’s main components, nitrogen and hydrogen, do not emit carbon when combusted.

“This massive proposed investment from CF Industries would create good-paying jobs and strengthen Louisiana’s position as a leader in the clean energy transition,” Gov. John Bel Edwards said in a statement. “This would be another big step toward our goal of making Louisiana carbon-neutral by 2050. We thank CF Industries for its continued commitment to Louisiana, and look forward to working with company, parish and regional economic development leaders to move the project forward.”

The companies intend to conduct a front-end engineering design (FEED) study when the site and technology provider for the facility are finalized. A final investment decision is expected in 2023. Construction will take about four years to complete.

“CF Industries and Mitsui believe that blue ammonia will play a pivotal role in accelerating the world’s transition to clean energy and that our proposed blue ammonia production facility is an important step towards this future,” Tony Will, president and chief executive officer, CF Industries Holdings Inc., said in the release. “CF Industries has long appreciated the partnership we have had with the State of Louisiana and Ascension Parish, both as we have expanded our operations over the years and now as we decarbonize our production processes and consider new capacity growth. We look forward to working with them further as we continue to evaluate our proposed blue ammonia production facility.”

Under the terms of the partnership, CF Industries will own 52% of the facility and Mitsui will hold a 48% stake. Mitsui will oversee marketing and distribution of blue ammonia in the Asian market. In turn, CF Industries will operate the facility and maintain it.

Demand for clean energy is accelerating due to concerns about climate change. 

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Powder Bulk Solids Staff

Established in 1983, Powder & Bulk Solids (PBS) serves industries that process, handle, and package dry particulate matter, including the food, chemical, and pharmaceutical markets.

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