Page 165 - CW E-Magazine (30-4-2024)

News from Abroad

DECARBONISATION INITIATIVE
CF Industries and JERA mull green ammonia

production in US

CF Industries Holdings Inc., the US- JERA and CF Industries previously JERA’s projects, which represent the
based ammonia producer, and JERA, had signed a memorandum of under- first meaningful volume of what we
Japan’s largest energy company, have standing to explore a potential joint believe will be substantial global demand
executed a joint development agree- project development and sales and pur- for low-carbon ammonia as an energy
ment (JDA) to explore the development chase of low-carbon ammonia. The two source, will demonstrate the signifi-
of greenfield low-carbon ammonia companies aim to reach a final invest- cant contribution ammonia can make to
production capacity at CF Industries’ ment decision on the proposed project meet the decarbonization goals of hard-
Blue Point Complex in Louisiana (US). within a year for commencing produc- to-abate industries.”
tion in 2028.
The JDA will guide JERA and CF JERA intends to replace coal with
Industries’ evaluation of a joint venture “We are pleased to expand our rela- low-carbon clean ammonia in its exis-
agreement to build an approximately tionship with JERA as our companies ting thermal coal power plants to re-
1.4-mtpa low-carbon ammonia plant. advance leading-edge decarbonization duce CO emissions. JERA is currently
2
JERA is contemplating a 48% owner- initiatives that will help JERA and conducting the world’s first commer-
ship stake in the project as well as an Japan achieve their decarbonization cial-scale demonstration test of fuel
agreement to procure more than 0.500- goals,” said Tony Will, President and ammonia substitution (20% of heating
mtpa of low-carbon ammonia to meet Chief Executive Officer, CF Indus- value) at its Hekinan thermal power
demand for low-carbon fuels in Japan. tries Holdings, Inc. “We believe that station.
GREEN FUELS
Strategic Biofuels announces investment from

Japanese-based consortium

Strategic Biofuels, a leading sus- renewable fuels. It will produce about Carbon Capture, Utilisation and Stor-
tainable aviation fuels (SAF) project 83% SAF, that can be blended at up to age (CCUS) project near Houston. The
developer, has announced a strate- 50% with petroleum-derived jet fuel, CCS component of the LGF project
gic investment commitment from and 17% renewable naphtha, a gaso- will capture and store carbon dioxide
Magnolia Sustainable Energy Part- line blend. onsite from both its biomass-fired
ners (M-SEP), a newly formed Japa- power plant and biorefinery.
nese-based investment consortium “Our partnership with JX and
created by Sumitomo Corporation of Sumitomo through their new consortium, In February, SCOA announced a
Americas (SCOA) and JX Nippon M-SEP, will bring both financial sup- major investment commitment to Stra-
Oil & Gas Exploration Corporation (JX). port and the deep carbon capture tech- tegic Biofuels’ LGF project, revealing
nical expertise that is needed to con- that it will help the project reach a
The investment from M-SEP will tinue advancing toward construction,” Financial Investment Decision (FID)
be used to further advance the com- said Dr. Paul Schubert, CEO, Strategic and commencement of construction in
pany’s flagship Louisiana Green Fuels Biofuels. early 2025. At the same time, Strate-
(LGF) project, an ultra-low carbon gic Biofuels announced that it would
negative SAF plant located in Caldwell In addition to being an investor be shifting its primary renewable fuel
Parish, Louisiana (USA). through the consortium, JX will add product to SAF. SCOA intends to pro-
its expertise to the LGF project, lever- vide a 20-year offtake for the approxi-
Once completed in 2028, the pro- aging its carbon capture and seques- mately 640 million gallons of renewa-
ject is expected to annually produce tration (CCS) experience gained in ble fuels produced as well as all state
approximately 32 million gallons of building and operating the Petra Nova and federal renewable fuel credits.

Chemical Weekly April 30, 2024 165

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