Yara Clean Ammonia and Enbridge have signed a letter of intent for the joint development of a CCS-based ammonia production facility at the Enbridge Ingleside Energy Centre (EIEC) in Corpus Christi, Texas.
The facility is expected to use autothermal reforming for hydrogen production, with about 95% of the generated carbon dioxide captured and transported for geologic sequestration at a nearby site. Enbridge and Oxy Low Carbon Ventures are advancing a nearby sequestration hub for the project’s generated carbon dioxide. The potential sequestration site, the Bluebonnet hub, is 55,000 acres in size and has capacity to sequester about 1.2 billion metric tonnes of carbon dioxide once fully operational from 2026. Tests are underway currently to ascertain the site’s carbon dioxide capture capabilities.
The ammonia production facility, pending confirmation through FEED and approval, has an expected project investment range of USD2.6 – 2.9 billion, with production start-up slated for 2027-28. A low-carbon ammonia supply capacity of 1.2 – 1.4 million tonnes per year is expected once the facility is fully operational.
In May last year, Enbridge and Humble Midstream launched the Corpus Christi project. The pair have seen significant progress in engineering & “capacity marketing” work over the last year, but Humble Midstream will now exit the project as Yara comes on board. As a world-leading ammonia distributor, Yara will provide experience in ammonia development, production, operation and distribution. Yara is also expected to contract full ammonia offtake from the facility.
Enbridge’s EIEC, the project’s location, already has existing infrastructure which will complement the new project. Enbridge’s Texas Eastern Transmission Pipeline is expected to provide the transportation service for feedstock gas for the production process.
We are excited to partner with Yara and collaborate on this clean energy project, especially given their expertise in global ammonia projects, operations and distribution. EIEC is well positioned to become the most sustainable export terminal in North America through low-carbon fuel production, carbon capture and solar self-power.Colin Gruending, Enbridge EVP and President, Liquids Pipelines in Yara’s official press release, 31 March 2023
We are working systematically to develop project opportunities in the U.S. and this project will significantly contribute to our strategy of decarbonizing agriculture as well as serving new clean ammonia segments such as shipping fuel, power production and ammonia as a hydrogen carrier.Magnus Krogh Ankarstrand, President of Yara Clean Ammonia, in Yara’s official press release, 31 March 2023
*this article has been edited to reflect Humble Midstream’s role in the project going forward