Ammonium nitrate (AN) is valued as a nitrogen fertilizer and mining explosive. Consequently, it is also widely traded and distributed globally. Some 20 percent of the 49 million tonnes manufactured annually is shipped around the world and stored in warehouses at various ports and inland destinations.
Last year the International Energy Agency (IEA), in conjunction with IFA, published the Ammonia Technology Roadmap, which looks at ways of achieving decarbonisation of the nitrogen fertilizer industry by 2050. In this article we look at the scenarios and technology options that will define the industry over the next three decades.
Sulphur processing from sour gas fields dominates regional production, but the geographical remoteness of the area from end use markets and restrictions on sulphur storage means that producers often opt to reinject acid gas into oil and gas wells.
Like the vital nitrogen fertilizer they handle, seasonal cheer will be in short supply for Europe’s ammonia producers and buyers this festive season, after many difficult months in which upward price trajectories showed no sign of slowing.
Rapidly escalating natural gas prices forced plant closures across Europe during September. Worst affected was the UK, where a fire at a cross-Channel electricity cable and low output from wind energy has, combined with low domestic storage capacity led to a surge in demand for gas for power stations and wholesale gas prices reached a record 350 pence per therm (equivalent to $46/ MMBtu) in October. On September 15th, CF Industries announced that it was halting operations at both its Billingham and Ince fertilizer plans due to high gas prices. Although ammonia prices have also risen, they have not kept pace with gas price rises, and there is a limit to what farmers could be expected to pay. CF CEO Anthony Will said: “$900 is the gas cost in a tonne of ammonia and the last trade in the ammonia market that was done was $700 a tonne”. As these plants supply most of the UK’s carbon dioxide for food and drink manufacture, the government said it would provide “limited financial support” to keep the Billingham plant operational, and that plant re-started on September 21st. Meanwhile, BASF closed its Antwerp and Ludwigshafen plants in Belgium and Germany due to what the company called “extremely challenging” economics. Fertiberia ceased production at its Palos de la Frontera site in Spain, and Puertellano remained down for scheduled maintenance. Yara shut 40% of its European ammonia production in September, and OCI partially closed its Geleen plant in the Netherlands. Achema in Lithuania decided against restarting its ammonia plant following maintenance in August, and OPZ in Ukraine shut one ammonia line at Odessa, with Ostchem and DniproAzot likely to follow. Borealis in Austria also reduced production.
Reducing carbon footprint in the synthesis of chemicals is a new challenge, a necessary requirement in the pursuit of sustainable products designed to minimise environmental impacts during their whole lifecycle. So-called “green” technologies for ammonia, methanol and hydrogen are being developed to meet these challenges. Casale, Linde, thyssenkrupp Industrial Solutions, Toyo Engineering Corporation, Haldor Topsoe and Stamicarbon report on some of their latest developments.
Major fertilizer industry players such as Stamicarbon, Nutrien and CF Industries are ramping up investment in ‘green’ and ‘blue’ fertilizer production. Consequently, low-carbon production technologies are being scaled-up and deployed commercially.
Dealing with sulphur dust is an operational challenge for sulphur forming plants and sulphur storage and handling facilities.
An update on the latest in fertilizer ship loading, handling, bagging and blending, including new contracts, company news and advances in technology.
The UK has published its Hydrogen Strategy, setting out the government’s ambition to create a low carbon hydrogen sector, with up to one third of the UK’s energy consumption being hydrogen-based by 2050. The commitments set out in the strategy unlocks £4 billion of government investment by 2030. The government plans 5GW of low carbon hydrogen production capacity and the establishment of carbon capture, use and storage (CCUS) in four industrial clusters by 2030, as well as blending of hydrogen into the existing gas network and a ‘twin-track’ approach to hydrogen production, using both electrolytic and CCUS-enabled low carbon hydrogen production in order to scale up production in time to meet the UK’s 2030 and 2050 carbon emissions targets.