CF Industries (NYSE:CF) +4% in Thursday’s trading as it said it is teaming with South Korea’s Posco Holdings (NYSE:PKX) to evaluate a joint venture to build a low-carbon clean ammonia plant at CF’s Blue Point Complex in Louisiana, along with long-term low-carbon clean ammonia offtake into South Korea.
As part of the evaluation, CF Industries (CF) and Posco (PKX) will initiate a front-end engineering and design study on autothermal reforming ammonia production technology, which the companies said could reduce carbon dioxide emissions from the ammonia production process by more than 90% compared to conventional ammonia plants without carbon capture and sequestration.
If the project moves forward, Posco (PKX) said it expects to import low-carbon clean ammonia from the facility to South Korea to support decarbonization of its own and third-party coal-based power generation facilities.
The company also would convert low-carbon clean ammonia into hydrogen to use low-carbon hydrogen in gas-based power plants and in the steelmaking process itself.