The minute
- The Blue Point One project, in Modeste, Louisiana, costs $3.7 billion and will produce 1.4 million metric tons of ammonia a year starting in 2029; CF Industries holds 40%, JERA (Japan) 35% and Mitsui 25%
- The plant uses autothermal reforming (ATR) to produce hydrogen, which becomes ammonia when combined with nitrogen; about 98% of the CO2 generated will be captured and permanently stored through a joint venture between Occidental’s 1PointFive and Enbridge
- CF Industries is also investing another $550 million in its own infrastructure, and Linde is investing over $400 million in an air separation unit for the project
Why it matters
About 70% of global ammonia production today goes to fertilizer, but growing interest in using ammonia as a low-carbon fuel for shipping and power generation is what makes this kind of plant relevant beyond the traditional agricultural market — it’s one of the few heavy industrial sectors where gigaton-scale carbon capture is actually being built, not just planned.
The partnership between a U.S. fertilizer producer (CF Industries) and two Japanese energy and trading companies (JERA and Mitsui) shows Japan actively financing decarbonization infrastructure abroad as part of a strategy to secure long-term low-carbon fuel supply. via Carbon Credits
Want this by email?
There is no newsletter yet. Leave your email and you will hear first on the day there is one.
