In order to design and build a sizable low-carbon blue ammonia production facility along the U.S. Gulf Coast, BASF and Yara Clean Ammonia have teamed up.
The project incorporates carbon capture technology in an effort to satisfy the growing demand for low-carbon ammonia on a global scale. The planned facility would offer a sustainable alternative for ammonia production with a total annual capacity of 1.2 to 1.4 million tons.
The project’s fit with Yara Clean Ammonia’s strategy was emphasized by the company’s president, Magnus Krogh Ankarstrand, who was enthusiastic about the relationship. The businesses plan to create asset-backed supply chains to decarbonize agriculture and investigate uses for clean ammonia in power generation, hydrogen transport, and marine fuel.
The project’s main goal is to permanently store 95 percent of the carbon dioxide (CO2) that is produced during the production process underground. With this strategy, Yara would be able to provide its clients with clean ammonia that has a substantially smaller carbon footprint. In order to meet BASF’s demand for low-carbon ammonia and lessen the environmental impact of its ammonia-based products, the new facility will act as a backward integration.
Dr. Ramkumar Dhruva, President of BASF’s Monomers Division, underscored the firm’s dedication to advancing the chemical industry’s transition to a more sustainable model. The region’s current BASF Verbund installations are highly suited for integrating a sizable ammonia facility since they have integrated material flows and cutting-edge infrastructure. The project has the potential to significantly reduce BASF’s activities’ carbon footprint and those of the sectors it serves.
At BASF’s Freeport location in Texas, Yara and BASF have a long-standing partnership and currently run a global-scale ammonia production together. By the end of 2023, the two businesses hope to have finished their feasibility study for the low-carbon blue ammonia production facility.
The properties of blue ammonia are the same as those of ammonia manufactured traditionally. However, since the CO2 emissions are captured and stored during the production process, it is an essential step in the switch to alternative, less carbon-intensive products. By 2030, compared to 2018, BASF wants to cut its absolute CO2 emissions by 25% and reach net-zero emissions by 2050. With a proven track record in reducing greenhouse gas emissions, Yara has already cut its emissions by almost 50% since 2004 and has additional reduction goals of 30% by 2030. Yara wants to produce food in a way that benefits the environment and the climate.
