Skip to main content

CF Industries breaks ground on blue ammonia plant

 

Published by
Hydrocarbon Engineering,

Blue Point One, a joint venture between CF Industries Holdings, Inc., JERA Co. Inc. (JERA), and Mitsui & Co. Ltd. (Mitsui), have broken ground in Modeste, Louisiana, US, on a low-carbon ammonia plant that can serve both traditional agricultural customers and emerging energy applications. The plant is expected to be the world’s largest ammonia plant upon completion, with a production capacity of 1.4 million tpy.

The event was attended by US Secretary of Agriculture Brooke Rollins, US Deputy Secretary of Agriculture Stephen Vaden, Assistant Secretary of the Army (Civil Works) Adam Telle, US Representative Julia Letlow, and senior Louisiana state government and local officials.

Highlights of the project include:

  • US$3.7 billion investment by Blue Point One joint venture members, with contributions allocated according to ownership levels. CF Industries holds 40% ownership, JERA 35% ownership, and Mitsui 25% ownership.
  • The Blue Point One plant is located in Modeste, Louisiana, and is expected to begin production in 2029.
  • The ammonia plant will have an average capacity of 1.4 million tpy.
  • The plant will create more than 100 high-paying manufacturing jobs when operational.
  • An estimated 3900 construction jobs will be created over four years.
  • CF Industries is investing an additional US$550 million over four years in shared, scalable infrastructure that positions Blue Point One for future ammonia production and fertilizer upgrades.
  • Linde will invest more than US$400 million in a new on-site air-separation unit to supply oxygen and nitrogen to the Blue Point One ammonia plant.
  • A joint venture between 1PointFive, a subsidiary of Occidental, and Enbridge, Inc., an energy delivery company, will safely transport and permanently sequester carbon dioxide from the plant.

Blue Point One is expected to be operational in 2029, becoming one of the first ammonia plants in the world to leverage autothermal reforming (ATR) production technology, a method to help produce hydrogen for synthesis with nitrogen in the ammonia production process. The plant is expected to capture and permanently sequester 98% of the CO2 generated in production, resulting in the lowest environmental footprint of any large-scale ammonia production facility in the world, meeting customer requirements, and supporting expanded ammonia manufacturing in the US.

CF Industries’ Blue Point Complex, where the Blue Point One ammonia plant is being constructed, includes space for future expansion.

CF Industries President and Chief Executive Officer Chris Bohn, said: “We are proud to break ground on the Blue Point One joint venture, a transformative project that brings together American energy resources, world-class engineering and partnerships, and trusted global allies. Most importantly, this facility will serve people, growing access to the reliable, domestic nitrogen supply American farmers need to feed the world, expanding our nation's export capacity through shipping American-made energy to global markets and creating jobs in Louisiana.”

Secretary of Louisiana Economic Development Susan Bourgeois, commented: “Louisiana has always been a state that produces what America and the world depend on, and Blue Point One builds directly on that legacy. From helping provide American farmers with a reliable domestic supply of fertilizer to expanding our ability to manufacture and export critical products here at home, this project strengthens industries that matter to our economy and our national security. This is Louisiana doing what we do best: putting our resources, workers and industrial expertise to work for America.”

JERA Global Energy Solutions Chief Executive Officer, JERA Senior Managing Executive Officer, Chief Operating Officer of Low Carbon Fuels Business Irtiza Sayyed, added: “Today’s groundbreaking marks an important milestone for Blue Point One and brings us one step closer to establishing a reliable low-carbon ammonia value chain. At JERA, we believe that energy transition must be supported by practical projects and strong partnerships across the value chain. Blue Point One reflects this belief, bringing together partners with a shared commitment to build the foundation needed to scale lower-carbon ammonia for the future.”

 

This article has been tagged under the following:

Downstream news Downstream contract news Downstream contract news Decarbonisation news Gas processing news