Potential new rules regarding blue ammonia in proposed European Union legislation could open new markets for the molecule, LSB Industries CEO Mark Behrman said in comments today.
“Europe, which has previously been entirely focused on green zero-carbon power generation, is increasingly considering blue or low-carbon ammonia as a more practical emission reduction option,” Behrman said. This is largely due to the currently prohibitive high costs of producing green fuels.”
He added that European governments are currently working on legislation – the Net-Zero Industry Act – intended to make low-carbon ammonia eligible for the incentives that now cover only green products.
“If this legislation passes,” he said, “the global market for blue ammonia would be considerably larger than anticipated when we initially began the process of developing our projects.”
LSB is developing a blue ammonia facility at the Houston Ship Channel that would produce approximately 1.1 million metric tons of ammonia and capture and sequester 1.6 million metric tons of CO2 annually. It is also installing a carbon capture unit at its ammonia facility in El Dorado, Arkansas.
