The facility will enable the transportation and permanent geological sequestration of up to 2 million tpy of CO2 that would otherwise have been emitted into the atmosphere. ExxonMobil, the company’s carbon capture and sequestration (CCS) partner for this project, will be transporting and permanently storing the CO2.
On an interim basis, ExxonMobil is storing CO2 from the Donaldsonville Complex in permanent geologic sites through enhanced oil recovery. Upon receiving its applicable permits, ExxonMobil plans to transition to dedicated permanent storage, starting with its Rose CCS project. Rose is one of the dedicated permanent storage sites ExxonMobil is developing along the US Gulf Coast to expand its integrated CCS network. The US Environmental Protection Agency issued a draft Class VI permit for Rose in July 2025, and final permits are expected later in the year.
“The start up of the Donaldsonville CO2 dehydration and compression facility and initiation of sequestration by ExxonMobil is a milestone in our company’s decarbonisation journey,” said Tony Will, President and CEO of CF Industries. “By starting permanent sequestration now, we reduce our emissions, accelerate the availability of low-carbon ammonia for our customers, and begin generating valuable 45Q tax credits.”
As a result of its Donaldsonville CCS project, CF Industries expects to produce approximately 1.9 million tpy of low-carbon ammonia. CF Industries also expects to qualify for tax credits under Section 45Q of the Internal Revenue Code, which provides a credit per t of CO2 stored.