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    Nitrogen+Syngas 397 Sep-Oct 2025

    16 September 2025

    BASF and Yara end low carbon ammonia project

    UNITED STATES

    BASF and Yara end low carbon ammonia project

    BASF and Yara International ASA say that they have jointly decided to discontinue their project to develop a 1.4 million t/a low-carbon ammonia production facility with carbon capture and storage in the US Gulf Coast region. The companies say that this decision reflects their “commitment to focus on initiatives with the highest potential to achieve their respective value creation goals.” Yara will continue its ammonia strategy as previously communicated, evaluating and maturing equity investment opportunities in US ammonia to determine the optimal project portfolio.

    BASF and Yara continue to jointly operate a world-scale ammonia plant at BASF’s site in Freeport, Texas. BASF also produces ammonia in Ludwigshafen, Germany, and Antwerp, Belgium, while Yara operates the world’s largest ammonia system with production facilities in Europe, the Americas and Asia.

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    Ammonia values have continued to ease across most regions at the end of June, as the first ammonia vessels begin to exit the Gulf since the Iranian conflict began. Iranian ammonia had also begun to flow to India following the US Treasury’s issuance of a 60-day sanctions waiver on 22 June, allowing dollar-denominated trade in Iranian petrochemical products through 21 August. As a result, Indian bids have been heard as low as $750/t c.fr, as buyers benefit from a widening pool of available supply - Iranian, Chinese and renewed Southeast Asian material are all competing for the same business.