CF Industries is taking significant steps to support a global hydrogen and clean fuel economy, which is expected to grow significantly over the next decade, through the production of green and low-carbon ammonia. These include:
- Board-authorized green ammonia project to be built at the Donaldsonville Nitrogen Complex
- Carbon dioxide (CO2) sequestration and other carbon abatement projects to enable low-carbon ammonia production in development
- Announces comprehensive ESG goals, covering critical environmental, societal, and workforce imperatives, including a dramatic reduction in carbon emissions across its global network
- 25% reduction in CO2e emissions intensity by 2030 and net-zero carbon emissions by 2050
- Executive compensation tied directly to ESG goals
The Clean Energy Opportunity
Green hydrogen and ammonia are expected to be critical contributors to the world achieving net-zero carbon emissions by 2050. Industry experts project hydrogen will meet approximately 20% of the world’s energy need by 2050, up from less than 1% today. Ammonia, which is composed of three-parts hydrogen and one-part nitrogen, is a highly efficient transport and storage mechanism for hydrogen as well as a fuel in its own right.
As the world’s largest ammonia producer, CF Industries’ current asset base and technical expertise are well-situated to meet the anticipated demand for hydrogen and ammonia from green and low-carbon sources. The company’s approach will focus on green ammonia production, which refers to ammonia produced through a carbon-free process, and low-carbon ammonia, which relates to ammonia produced by conventional processes but with CO2 removed through carbon capture and sequestration (CCS) and other certified carbon abatement projects.
Initial Investments in a Clean Energy Future
CF Industries’ Board of Directors approved an initial green ammonia project at the company’s flagship Donaldsonville Nitrogen Complex to produce approximately 20,000 tons per year of green ammonia. The company will install a state-of-the-art electrolysis system at Donaldsonville to generate carbon-free hydrogen from water that will then be supplied to an existing plant to produce green ammonia.
Additionally, the company is developing carbon capture and storage and other carbon abatement projects across its production facilities. The implementation of these projects will enable CF to produce low-carbon ammonia. The company estimates that over time it could produce approximately 3.5 million tons of low-carbon ammonia per year, which represents about one-third of its annual ammonia production capacity, without affecting its current product mix.
In order to execute these initiatives, CF is collaborating with leading technology companies, and has signed Memorandums of Understanding with ThyssenKrupp and Haldor Topsoe. The Company is also in discussions with global utilities and maritime transportation providers that have announced their intention to use low-carbon ammonia directly as a fuel.
Comprehensive ESG Goals
In line with our commitment to the clean energy economy, we have published comprehensive environmental, social and governance goals, including a 25% reduction in CO2e emissions intensity by 2030 and net-zero carbon emissions by 2050. Additionally, executive compensation is tied directly to ESG goals.
See all our ESG goals here.