Netherlands-based OCI N.V. will start construction of a 1.1 million ton per-annum blue ammonia project in Beaumont, Texas, the company said in a press release.
Capital expenditure is expected to be within OCI’s guidance of up to USD 450m growth capex for the group in 2023. Utilities and available land have been sized to allow for doubling of the capacity by adding an additional 1.1 million ton per annum blue ammonia line in the future.
The project has been designed to transition from blue to green ammonia production in the future as green hydrogen becomes available at larger scale.
The US Gulf is a strategic location that allows the facility to serve both the US market and export clean ammonia as a hydrogen carrier to hydrogen deficit markets around the world, as well as catering for expected significant demand from new applications including power and shipping fuels. The blue ammonia will be delivered to customers using future zero carbon ammonia-fueled engine ships, leveraging OCI’s global infrastructure.
The project is underway, with detailed engineering and procurement work having started earlier this year, and production targeted for 1Q25, the release says. The project has been awarded to Maire Tecnimont on an EP (“Engineering & Procurement”) basis, critical long-lead pieces of equipment have been ordered, and site works are scheduled to start in the coming weeks.
