CF Industries in blue ammonia JV with JERA and Mitsui

UNITED STATES

Deferral for green ammonia project

CF Industries has formed a joint venture with JERA, Japan’s largest energy company, and Mitsui & Co, a leading global investment and trading company, for the construction, production and offtake of low-carbon ammonia. CF Industries will hold 40% ownership in the new company, JERA 35%, and Mitsui 25%. The joint venture will construct at CF Industries’ Blue Point Complex in Louisiana an autothermal reforming ammonia production facility with a carbon dioxide dehydration and compression unit at the site to prepare captured CO2 for transportation and sequestration. The estimated cost for the ammonia production facility is approximately $4 billion, and the plant will have an annual nameplate capacity of approximately 1.4 million t/a, making it the largest single train ammonia plant in the world. Pre-construction activities and engineering evaluations will begin in 2025 at CF Industries’ Blue Point Complex in Ascension Parish, Louisiana. Construction of the ammonia production facility is expected to begin in 2026, with low-carbon ammonia production expected in 2029.

CF Industries will build and operate scalable infrastructure at the Blue Point site to supply the ammonia production facility with services, including product storage and loading, and will be responsible for the operation and maintenance of the ammonia production facility. Product offtake will be handled independently by the three companies according to their ownership percentage. 1PointFive, a carbon capture, utilisation, and sequestration (CCUS) company and subsidiary of Occidental will transport and sequester approximately 2.3 million metric t/a of CO2 annually at 1PointFive’s Pelican Sequestration Hub in Louisiana.

“CF Industries is proud to partner with global leaders JERA and Mitsui to build the leading low-carbon ammonia production facility in the world,” said Tony Will, president and chief executive officer, CF Industries Holdings, Inc. “Our joint venture represents tangible progress towards building a reliable and affordable low-carbon ammonia value chain to meet what we expect to be robust global demand for low-carbon ammonia for both traditional and new applications.”