The CF Industries fertilizer plant in Medicine Hat is shown in this 2021 file photo.--News File Photo
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CF Industries says it has signed on o the largest carbon capture agreement of its kind to sequester emissions from its Donaldson, La. plant site.
The company announced in August it would spend US$198 million to install a carbon dioxide compressor and dehydration unity at the ammonia plant capable of handling 2 million tonnes of CO2 annually.
On Wednesday it announced it now has an agreement with midstream company Enlink and Exxon Mobile to transport and sequester the carbon deep underground at an Exxon facility also in Louisiana.
CF expects to market 1.7 million tonnes of “Blue Ammonia” – produced by capturing and storing CO2 released in the transformation of natural gas to ammonia – from Donaldsonville.
“We are pleased to be able to leverage our previous investments in Louisiana to add CO2 processing technology to our Donaldsonville complex that will enable a significant volume of blue ammonia production by the middle of the decade,” said CF president Tony Will in August. “This will position CF Industries and Louisiana at the forefront of this emerging global market.”
The company put the initial phase of the project forward to state officials for consideration under Louisiana’s Industrial Tax Exemption program, stating 15 permanent jobs would be added at the site which employs about 600 workers.
Louisiana Gov. John Bel Edwards stated in a release, “This unprecedented, large-scale, low-carbon partnership is a key milepost on Louisiana’s path toward a brighter future for our climate, our economy and our people.”
CF, which operates a large ammonia plant in northern Medicine Hat, is a partner in the City of Medicine Hat’s hydrogen attraction effort, and has expressed interest in a separate city move to create a local carbon capture hub.
