Our 2030 commitment
Invest in new technologies and pursue the transition to low-carbon fertilizers, including low-carbon and clean ammonia.
Low-carbon and clean ammonia were previously referred to as blue and green ammonia. Low-carbon ammonia is ammonia made with direct GHG emissions typically reduced by approximately 60 percent but up to 80 percent, produced primarily utilizing carbon capture, utilization and storage (“CCUS”) or other low-emission production technologies. To be considered clean ammonia, more than 90 percent of GHG emissions must be reduced.
The roadmap for reducing the carbon intensity of ammonia exists; however, at-scale economics require the emergence of low-carbon end markets for ammonia or hydrogen use as a fuel.
Our 2022 progress
We are evaluating the construction of a new clean ammonia facility at our existing Geismar, LA site, which would produce 1.2 million tonnes of clean ammonia annually and potentially be among the world’s largest clean ammonia production facilities if approved. The project is in the front-end engineering design (“FEED”) phase and a final investment decision is expected in 2023. If approved, construction of the approximately $2 billion facility is expected to begin in 2024 with full production anticipated by 2027. In addition, our near-term focus is on using carbon capture, utilization and storage (“CCUS”) infrastructure, and growing our low-carbon ammonia production. As of 2022, Nutrien has annual production capability for approximately one million tonnes of low-carbon ammonia at our Geismar, LA, Redwater, AB and Joffre, AB nitrogen facilities.
We continue collaborating with our shipping partner EXMAR to evaluate building a low-carbon ammonia-powered vessel. The project has progressed to initial engine design and is subject to further analysis, validation and a final investment decision. If approved in 2023, the anticipated completion is end of 2025. We believe this is an important step forward for the wider adoption of low-carbon ammonia as a clean fuel for the maritime industry.
Nutrien continued our partnership with the US Department of Energy (“DOE”) and other industry partners to develop a clean ammonia plant with technology developed from the Renewable Energy to Fuels Through Utilization of Energy- Dense Liquids (“REFUEL”) program.
Building a net-zero future for ammonia
Nitrogen fertilizers are critical to food production, soil health and optimizing arable land use. Their role in global food supply is estimated to support half of the world's population.
Production of ammonia generates significant CO2 emissions, which can be reduced by up to 80% (low-carbon ammonia) or over 90% (clean ammonia).
The development and use of both low-carbon and clean ammonia is prominent in our strategy to invest in ammonia's potential to further reduce carbon intensity and provide solutions that will meet the world's decarbonization goals, both in agriculture and other sectors.
Decarbonization opportunities for ammonia
Fertilizer production
Ammonia for industrial use
Clean fuel for marine shipping
Displacing coal in power generation
Ammonia as a hydrogen carrier
Our projects and initiatives
Leading in clean ammonia production
- Evaluating the construction of a new clean ammonia facility at our existing Geismar, Louisiana site. See our news release for more information.
- thyssenkrupp Uhde is our selected technology partner for the clean ammonia project. Click here for more information.
- Facility will be designed to have annual production capacity of 1.2 million tonnes and to capture at least 90% of CO2 emissions, with the potential to scale to net zero emissions with future modifications.
- Facility will leverage low-cost natural gas, tidewater access to world markets, and high-quality carbon capture and sequestration infrastructure to serve growing demand in agriculture, industrial and emerging energy markets.
- A final investment decision is expected in 2023, and full production would begin in 2027. Our new clean ammonia plant will be another example of Nutrien's leadership role in decarbonizing the agriculture industry while also developing a source of clean energy.
Partnering to decarbonize marine fuel
- Collaborating with our shipping partner EXMAR to evaluate building a low-carbon ammonia powered vessel.
- Supplying global markets as one of the world's largest ammonia traders via marine transport. We've safely transported 45 million tonnes of ammonia to North America, Africa, Latin America, Europe, and Asia.
- Ammonia has an established supply chain that can be scaled to supply the marine shipping industry, and enable it to rapidly transition from conventional fuels.
Advancing carbon capture, utilization and storage (CCUS)
- We are one of the world's largest low-carbon ammonia producers, due to more than a decade of technology and process development, including in CCUS.
- At our Geismar facility we have been permanently sequestering carbon emissions since 2013, and eliminated 248,000 tonnes of CO2 in 2021.
- At our Redwater facility, we have been permanently sequestering carbon emissions into the Alberta Carbon Trunk Line since 2019, and eliminated 139,000 tonnes of carbon emissions in 2021.
- At our Joffre facility, we have been using by-product hydrogen from a nearby industrial producer since 1987, thus eliminating the GHG-intensive step of processing natural gas into hydrogen.
Advancing the next generation of clean ammonia technology
- The future of clean ammonia production must also include a low emissions pathway using carbon free sources of electricity such as nuclear, wind and solar power.
- We are working with government and industry partners to develop a 1 metric tonne per day ammonia facility that utilizes air, water and variable renewable electricity. This is done via the US Department of Energy's REFUEL program.
- We are also proud to support the HALO Hydrogen Hub’s effort to become a Regional Clean Hydrogen Hub through the U.S. Department of Energy.