St. Charles Parish: The Future Home of a Cutting-Edge $4.6 Billion "Blue" Ammonia Plant

Louisiana [US]: Louisiana may soon welcome another "blue" Ammonia facility in St. Charles Parish, situated on a plot owned by New Orleans-based International-Matex Tank Terminals. The land may be leased to St. Charles Clean Fuels, a development company co-owned by Sustainable Fuels Group and Copenhagen Infrastructure Partners, for the construction of a $4.6 billion production plant for blue Ammonia. The facility would require storage tanks to contain liquefied Ammonia before transportation, which IMTT is planning to build. According to Louisiana Economic Development, the project is currently under exploration.

The manufacturing of Ammonia, a vital ingredient in fertilizers, would involve the utilization of Carbon capture, which is known as "blue" Ammonia. This method aims to reduce and store Carbon Dioxide emissions beneath the earth's surface.

A new production facility is set to generate as much as 8,000 metric tons daily of "blue" Ammonia while implementing carbon capture technology to detain over 90% of Carbon Dioxide emissions. The facility also plans to use a self-generated Hydrogen fuel for power. The company aims to reduce the environmental footprint of the global economy and improve the lives of residents in nearby communities by capturing greenhouse gases and integrating more efficient, cleaner technologies.

St. Charles Clean Fuels is making headway with plans to construct a plant in Louisiana, with a final investment decision expected in early 2024. The project's front-end engineering design, or FEED, study is currently underway for the IMTT site, while permit applications are being prepared simultaneously. The plant is scheduled to begin construction in 2024, with initial operation projected for 2027. Louisiana has enticed the project with a lucrative incentive package that includes a $6 million grant for infrastructure needs, as well as the opportunity to participate in the state's Industrial Tax Exemption and Quality Jobs programs.

St. Charles Clean Fuels Holdings and the Copenhagen Investment Fund's potential investment signifies a significant milestone, indicating the progression of Louisiana as a leading clean energy state in America. With billions of investments and hundreds of job opportunities, this development is crucial. Entergy Louisiana has declared its commitment to collaborate with St. Charles Clean Fuels to power the "blue" Ammonia plant.

This technology is instrumental for Louisiana to achieve its Carbon Dioxide reduction objectives by 2050. Although Carbon capture technology has been a crucial tool in reducing Carbon Dioxide, environmental advocates have questioned its efficacy, and residents in Livingston and Iberville parishes have expressed concerns about the potential impact of Carbon injection wells on their communities.

Louisiana seems to have caught the attention of several companies looking to invest in alternative fuels. Along with St. Charles Clean Fuels, Ascension Clean Energy is also considering the possibility of setting up a "blue" Ammonia plant in Ascension Parish, which could amount to a whopping $7.5 billion. Meanwhile, CF Industries, known for operating the world's largest Ammonia plant in Donaldsonville, is also exploring the idea of setting up a plant worth $2 billion in the same parish, but for "blue" Hydrogen instead.

Air Products is also eyeing the construction of a $4.5 billion plant that produces "blue" Hydrogen in the Ascension area. However, some of the locals have strongly opposed the proposed Carbon injection well in Livingston Parish. Hydrogen is an essential element in Ammonia production. On the other hand, G2 Net-Zero has announced its intentions to construct a "blue" Ammonia complex in southwest Louisiana, but specific details on this project have not been publicly disclosed yet.