Yara and Enbridge to Develop Large Blue Ammonia Project at Texas Port

Blue ammonia project would be located near Corpus Christi which is building on its energy position (file photo)

PUBLISHED APR 3, 2023 8:01 PM BY THE MARITIME EXECUTIVE

 

Yara Clean Ammonia and Enbridge are planning to jointly develop and construct a world-scale low-carbon blue ammonia production facility to be located in Texas. The proposed facility, which includes autothermal reforming with carbon capture, will be located at the Enbridge Ingleside Energy Center (EIEC) near Corpus Christi, Texas.

Once operational, the production facility will be capable of supplying low-carbon ammonia to meet growing global demand, with an expected annual capacity of 1.2–1.4 million tons. Approximately 95 percent of the carbon dioxide (CO2) generated from the production process is anticipated to be captured and transported to nearby permanent geologic storage. If confirmed through the front-end engineering design (FEED) phase and approved, total project investment is expected in the range of $2.6–$2.9 billion.

If the project proceeds, Yara is expected to contract full offtake from the facility. Production start-up is tentatively expected in 2027/2028.

“Yara is pleased to be joining Enbridge in developing this significant clean ammonia project,” said Magnus Krogh Ankarstrand, President of Yara Clean Ammonia. “We are working systematically to develop project opportunities in the U.S. and this project will significantly contribute to our strategy of decarbonizing agriculture as well as serving new clean ammonia segments such as shipping fuel, power production, and ammonia as a hydrogen carrier.

Enbridge and Yara will utilize their complementary strengths to develop and execute the project. According to the companies, Yara’s industry-leading experience in ammonia development, production, operations, and distribution, combined with Enbridge’s large-scale infrastructure development expertise and world-class EIEC deep water docks and export platform, will be critical to advancing the project from development through to commercial operation. 

“We are excited to partner with Yara and collaborate on this clean energy project, especially given their expertise in global ammonia projects, operations, and distribution,” said Colin Gruending, Enbridge Executive Vice President and President, Liquids Pipelines. “EIEC is well positioned to become the most sustainable export terminal in North America through low-carbon fuel production, carbon capture, and solar self-power.”

Enbridge’s Texas Eastern Transmission Pipeline is expected to provide the transportation service for feed gas that will be used for the production process, and Enbridge, along with Oxy Low Carbon Ventures, is advancing a nearby CO2 sequestration hub which is a potential destination for the project’s captured CO2.

The construction of any facilities will be subject to receipt of all necessary regulatory approvals.