Nutrien Ltd. disclosed today its evaluation of Geismar, LA as the potential location for constructing the world’s largest clean ammonia facility. Leveraging its expertise in low-carbon ammonia production, Nutrien aims to employ innovative technology to achieve a minimum 90% reduction in Carbon Dioxide emissions. Advancing to the front-end engineering design (FEED) phase, the project anticipates a final investment decision in 2023. Pending approval, construction of the approximately US$2 billion facility would commence in 2024, targeting full production by 2027.

Positioned to meet increasing demand in agriculture, industrial, and emerging energy markets, the new plant would capitalize on Geismar's advantages, including low-cost natural gas, access to global markets via tidewater, and robust carbon capture and sequestration infrastructure. With an annual production capacity of 1.2 million metric tonnes and plans to sequester over 1.8 million metric tonnes of CO2 annually, the plant would utilize autothermal reforming technology to minimize its carbon footprint, potentially transitioning to net-zero emissions through future upgrades.

Ken Seitz, Nutrien’s CEO and Interim President emphasized that their dedication to advancing both low-carbon and clean ammonia is integral to their strategic approach. He highlighted that this commitment is central to their efforts to offer solutions that contribute to meeting global decarbonization objectives, while also sustainably addressing the issue of global food insecurity. Seitz underscored the significance of leading in clean ammonia production as a pivotal component in realizing their 2030 Scope 1 and 2 emissions reduction targets, within the framework of their Feeding the Future Plan.

Nutrien has entered into a term sheet with Denbury Inc., a longstanding partner, to potentially expand the current carbon sequestration capacity in the vicinity of its Geismar facility. This agreement, forged after nearly a decade of collaboration, demonstrates Nutrien's commitment to environmental stewardship. If Geismar is chosen as the final construction site, this expansion would enhance the facility's capability for carbon capture and storage, further solidifying its sustainability credentials.

Also, Nutrien has recently inked a Letter of Intent to collaborate with Mitsubishi Corporation, outlining the potential offtake of up to 40 percent of the anticipated production from the plant for delivery to the Asian fuel market, including Japan, post-construction completion. The company is steadfast in its commitment to spearheading the advancement of low-carbon and clean ammonia, aimed at expediting the decarbonization of challenging sectors like agriculture, industrial ammonia usage, power generation, and maritime fuel. As one of the world’s largest ammonia traders via marine transportation, Nutrien disclosed a collaboration agreement with EXMAR in 2021 to jointly develop and construct one of the inaugural low-carbon, ammonia-fueled maritime vessels, contributing to the decarbonization of the shipping industry.

Furthermore, Nutrien is actively engaged with the US Department of Energy and other partners in exploring the potential of flexible clean ammonia production utilizing air, water, and variable renewable electricity.