On the U.S. Gulf Coast, BASF and Yara Clean Ammonia are jointly conducting a study to develop and build a world-scale production facility for CO2-reduced blue ammonia using carbon capture and storage (CCS). The companies are evaluating the feasibility of a plant with a total capacity of 1.2 to 1.4 million metric tons per year to meet the growing global demand for CO2-reduced ammonia.
"Yara and BASF have successfully collaborated in the past, and we are pleased to jointly develop a new blue ammonia project. In line with Yara Clean Ammonia's strategy, we are systematically working to develop a plant-based supply to decarbonize agriculture, as well as to serve new clean ammonia segments such as marine fuels, power generation, and ammonia as a hydrogen carrier," said Magnus Krogh Ankarstrand, president of Yara Clean Ammonia.
Storing CO2 in the soil
Around 95 percent of the CO2 produced during the production process would be captured and permanently stored in the soil. This would enable Yara to supply its customers with blue ammonia with a significantly reduced CO₂ footprint. For BASF, the new plant would represent a backward integration to meet the company's demand for low-carbon ammonia and reduce the CO₂ footprint of BASF's ammonia-based products.
"This project underscores BASF's commitment to driving the sustainable transformation of the chemical industry. Our existing Verbund sites in the region would be ideally suited for the integration of a new world-scale ammonia plant thanks to integrated material flows and advanced infrastructure. This has the potential to significantly improve the CO₂ balance of both our own production and the various industries we serve," said Dr. Ramkumar Dhruva, President of BASF's Monomers division.
The two companies are long-time cooperation partners and successfully operate a joint world-scale ammonia plant at BASF's site in Freeport, Texas. BASF and Yara plan to complete the feasibility study for the low-CO2 blue ammonia production plant by the end of 2023.
Blue ammonia
Blue ammonia has the identical product properties of conventionally produced ammonia. It plays an important role in the transformation to alternative, less CO2-intensive products, as the CO2 generated in the production process is captured and not released into the atmosphere. BASF has set a target to reduce its absolute CO2 emissions by 25 percent by 2030 compared to 2018 and to achieve net zero CO2 emissions by 2050. Yara has a strong track record of reducing greenhouse gases. Since becoming a publicly traded company in 2004, Yara has nearly halved its own emissions and will reduce them by another 30 percent by 2030. Yara also aims to become carbon neutral and build an environmentally sustainable food future.