A blue ammonia plant may be coming to our area.
Yet another “blue” ammonia facility could be coming to Louisiana, this time in St. Charles Parish on land owned by New Orleans-based International-Matex Tank Terminals. St. Charles Clean Fuels, a development company owned by Copenhagen Infrastructure Partners and Sustainable Fuels Group, is exploring whether to build a $4.6 billion “blue” ammonia production plant on land at IMTT’s St. Rose location on the east bank of the Mississippi River, Louisiana Economic Development said Wednesday. IMTT is planning to lease the land to St. Charles Clean Fuels and would build the storage tanks needed to hold the liquified ammonia before it is transported. The plant would create 216 new direct jobs with an average annual salary of more than $90,000, according to an LED news release. It would also create 949 indirect jobs and up to 2,000 construction jobs.
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Blue ammonia is made with carbon capture.
Ammonia, a common fertilizer ingredient, is considered “blue” when it is made using carbon capture, a controversial technology that aims to sequester carbon dioxide emissions at an industrial site and bury them deep underground. The new facility would produce up to 8,000 metric tons per day of “blue” ammonia, and it would rely on carbon capture technology to sequester more than 90% of its carbon dioxide emissions. It would also use a self-generated hydrogen fuel for power, LED said. “By capturing greenhouse gases and engineering the project to consider cleaner, more efficient technologies, the company seeks to make a tangible contribution to lowering the environmental footprint for the global economy while positively benefitting the communities in which we reside,” St. Charles Clean Fuels Project Director Ramesh Raman said in a statement. The IMTT site is undergoing a front-end engineering design, or FEED, study while permit applications are being prepped for the project. St. Charles Clean Fuels is planning on making a final investment decision on the plant in early 2024 and begin construction later that year, with an eye on 2027 for initial operation. Louisiana lured the project with an incentive package that includes a $6 million grant for infrastructure needs. St. Charles Clean Fuels is also expected to participate in the state’s Industrial Tax Exemption and Quality Jobs programs. “This potential investment from St. Charles Clean Fuels Holdings and the Copenhagen Investment Fund is extremely important,” Michael Hecht, president and CEO of GNO Inc., said in a statement. “Not only does it represent hundreds of jobs and billions in investment, it marks a major step towards Louisiana becoming the leading clean energy state of the future for America.” Entergy Louisiana officials said the utility provider will partner with St. Charles Clean Fuels to supply power to the “blue” ammonia plant.
Advocates say we need this to reduce out carbon footprint.
Industrial advocates say the technology is a necessary tool for the state to meet its carbon dioxide reduction goals by 2050. However, environmental advocates have said carbon capture doesn’t achieve its promised capture rates, and residents in Livingston and Iberville parishes have raised concerns about the potential for carbon injection wells to disrupt their communities. St. Charles Clean Fuels isn’t the only company considering Louisiana for either a “blue” ammonia or “blue” hydrogen project. Ascension Clean Energy is exploring a possible $7.5 billion “blue” ammonia plant in Ascension Parish, and CF Industries — which operates the world’s largest ammonia plant in Donaldsonville — is considering its own $2 billion “blue” ammonia plant in the parish. Air Products also wants to build a $4.5 billion “blue” hydrogen plant in Ascension, though its planned carbon injection well in Livingston Parish has seen considerable pushback from residents. Hydrogen is used to make ammonia. G2 Net-Zero has said it wants to build a “blue” ammonia complex in southwest Louisiana, though the company has yet to release details about that facility.
Forcing carbon capture on the state.