Home » CF Industries, JERA, Mitsui to Build $4B Ammonia Facility in Ascension Parish

CF Industries, JERA, Mitsui to Build $4B Ammonia Facility in Ascension Parish

Home » CF Industries, JERA, Mitsui to Build $4B Ammonia Facility in Ascension Parish

CF Industries, in partnership with JERA and Mitsui, has officially committed to building the world’s largest low-carbon ammonia facility in Ascension Parish, Louisiana. The landmark $4 billion project located in proximity to Modeste on the parish’s west bank will lead the world in its role in the market for ammonia by producing approximately 1.4 million metric tons each year of ammonia and then shipping it to foreign export markets.

The plant will utilize the most advanced carbon capture and sequestration (CCS) technology, reducing its carbon footprint considerably compared to conventional means of ammonia production. The blue ammonia process is seen as a major step towards clean energy because the nitrogen and hydrogen composition of ammonia does not release carbon when burned, and therefore it is an environmentally friendly fuel source.

Job Creation and Economic Impact

The plant will create 103 good-paying, permanent jobs directly at the facility, and LED forecasts a total of 414 new jobs taking into account indirect job opportunities in the larger region. Governor Jeff Landry emphasized the economic significance, claiming that the project aligns with the vision of the state to announce $50 billion of new investment in the summer months and, through doing so, reassert Louisiana as a burgeoning hub of business and innovation.

In addition to the direct and indirect job benefits, LED has offered CF Industries a competitive incentive package, including a $6 million performance-based grant for development and infrastructure costs, workforce training through LED’s FastStart, and eligibility for both the Industrial Tax Exemption Program and the Quality Jobs program.

Innovative Technology and Partnerships

The world’s largest low-carbon ammonia facility in Ascension Parish is also distinctive in its pioneering use of carbon reduction technologies. The carbon captured during the production of ammonia will be stored by 1PointFive, an Occidental subsidiary, as the company seeks to reduce the environmental impact of industrial activities. The collaboration between CF Industries, Entergy Louisiana, and other regional stakeholders will ensure a cleaner energy future while stimulating economic growth in the Capital Region.

Phillip May, President and CEO of Entergy Louisiana, expressed his excitement about the project, noting the critical role of strong partnerships in advancing global energy technologies and creating economic opportunities locally. “We’re not only fueling innovation,” May said, “but we’re also building a more sustainable future for our communities and our customers.”

Read also: US$28 billion CP2 LNG project given the greenlight by DOE, Louisiana

Community and Regional Support

Ascension Parish President Clint Cointment praised CF Industries for its unwavering commitment to the community, as the investment by the company in the parish is proof of a shared vision for a prosperous future. This project further establishes Ascension Parish as a place of choice for industrial investment.

A Step Towards a Sustainable Future

This ammonia plant of world scale is a benchmark in CF Industries’ commitment to creating sustainable industrial processes. During the duration of the project, the plant will not only provide global energy demand but also contribute to the state of Louisiana’s greater effort to be at the forefront of new energy solutions.

The $4 billion project, first floated in 2022, has the potential to make Louisiana a key production hub for low-carbon ammonia, driving environmental and economic growth.

Read also: MHI Selected for UK’s First Carbon Capture Plant FEED

CF Industries Ammonia Facility in Ascension Parish: Project Factsheet

Project Overview

Location: Ascension Parish, Louisiana (west bank near Modeste)

Investment: $4 billion

Partners: CF Industries, JERA, and Mitsui

Production Capacity: 1.4 million metric tons of low-carbon ammonia annually

Status: Officially committed, following initial announcement in 2022

Technology & Environmental Impact

Implements advanced carbon capture and sequestration (CCS) technology

Carbon captured during production will be sequestered by 1PointFive (Occidental subsidiary)

Blue ammonia process significantly reduces carbon emissions compared to conventional methods

Creates environmentally sustainable fuel source as ammonia releases no carbon when burned

Economic Benefits of CF Industries Ammonia Facility in Ascension Parish

Direct Jobs: 103 permanent, high-paying positions

Total Impact: 414 new jobs including indirect employment opportunities

Contributes to Louisiana’s goal of $50 billion in new investments

Positions Louisiana as a global hub for low-carbon ammonia production

Incentives Package

$6 million performance-based grant for infrastructure and development

Workforce training through LED FastStart

Participation in Industrial Tax Exemption Program

Quality Jobs program benefits

Read also: CF Industries Plans $2B Low-Carbon Ammonia Plant in Ascension Parish, Louisiana

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