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OCI N.V. starts blue ammonia facility construction in Texas

Anela DoksoBy Anela Dokso09/12/20222 Mins Read
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OCI N.V. started building the Texas facility that will produce the most blue ammonia at this time.

The project is now on pace to start production in 2025 as planned thanks to the groundbreaking. On December 1, 2022, the Texas Commission on Environmental Quality (TCEQ) issued the project with an air permit.

The project site is close to OCI’s current integrated Beaumont methanol-ammonia production facility, which produces 1.4 million metric tons of ammonia annually, and Natgasoline, a 50%-owned methanol joint venture, which produces 1.8 million metric tons of methanol annually. This location takes advantage of the significant and expanding hydrogen and blue and green ammonia production capacity in Southeast Texas.

There are already numerous hydrogen transport pipelines, hydrogen storage facilities, and industrial clients in the area. A trained workforce in clean energy is also present in South East Texas, which is home to numerous businesses that are leaders in the integration, deployment, operation, and maintenance of energy technologies.

Over 95% of the carbon emissions will be caught and stored in blue ammonia, which OCI will create by upgrading “over-the-fence” blue hydrogen. As a result, OCI is able to significantly lower the carbon intensity of its products for customers farther down the value chain. This reduces the carbon footprint of a variety of industries, including transportation, power, manufacturing, and agriculture.

The EP (“Engineering and Procurement”) contract was given to Maire Tecnimont in March 2022. The ammonia factory uses KBR technology.

Hydrogen obtained from natural gas, when the CO2 byproduct is collected and sequestered, is used to make blue ammonia. Instead of using fossil fuels, green ammonia is made from hydrogen using sustainable energy sources like wind and sun. As green hydrogen becomes more widely available, this effort is intended to switch from producing blue to green ammonia in the future.

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