JERA and Mitsui break ground on world’s largest low-carbon ammonia plant
JERA, Mitsui and CF Industries have broken ground on a $3.7 billion low-carbon ammonia plant in Louisiana that is expected to become the world’s largest facility of its kind when it begins production in 2029.
The Blue Point One project in Modeste, Louisiana, will have an average annual production capacity of 1.4 million metric tonnes of ammonia, supplying both traditional agricultural markets and emerging energy applications.
The joint venture brings together CF Industries, the world’s largest ammonia producer, Japan’s largest energy company JERA and Japanese investment and trading group Mitsui. CF Industries holds a 40% stake in the project, while JERA owns 35% and Mitsui 25%.
The plant is expected to create more than 100 permanent manufacturing jobs once operational, while construction is forecast to generate about 3,900 jobs over four years.
Blue Point One will use autothermal reforming (ATR) technology to produce hydrogen for synthesis with nitrogen in the ammonia production process. The facility is designed to capture and permanently sequester 98% of the carbon dioxide generated during production.
The project’s developers say the technology will give Blue Point One one of the lowest environmental footprints among large-scale ammonia production facilities, while maintaining production capacity for the US agricultural sector and supporting exports to international markets.
Carbon dioxide captured at the plant will be transported and permanently stored through a joint venture between 1PointFive, a subsidiary of Occidental, and Enbridge.
CF Industries is also planning an additional $550 million investment over four years in shared infrastructure at its Blue Point Complex. The infrastructure is intended to support potential future ammonia production and upgrades to fertiliser manufacturing capacity.
Linde is investing more than $400 million in an on-site air separation unit that will provide the oxygen and nitrogen required by the Blue Point One facility.
CF Industries chief executive Chris Bohn said the project would combine US energy resources, engineering expertise and international partnerships while strengthening domestic nitrogen supplies for American farmers.
The development also has strategic significance for the US and Japan, with JERA and Mitsui seeking to establish a lower-carbon ammonia supply chain capable of supporting future energy applications.
JERA Global Energy Solutions chief executive Irtiza Sayyed said Blue Point One would help establish a reliable low-carbon ammonia value chain and demonstrate how practical projects and partnerships could support the energy transition.
Mitsui chief executive Kenichi Hori said the investment would strengthen cooperation between the United States and Japan while contributing to supply-chain resilience in both countries and beyond.
The project is expected to reinforce Louisiana’s position as a major US industrial and energy manufacturing hub. State and local officials said the investment would support jobs, economic growth and the development of lower-carbon industrial capacity in the region.
Blue Point One is being built within CF Industries’ existing Blue Point Complex, which includes room for further expansion. Its location and planned infrastructure could therefore allow additional ammonia production capacity to be developed in the future.
The project comes as nortakes on a growing role in discussions about low-carbon energy, alongside its established use in fertiliser production. Ammonia can be transported and stored more readily than hydrogen in some applications and is being examined as a potential fuel and hydrogen carrier for international energy markets.
Once completed, Blue Point One is expected to produce 1.4 million metric tonnes of ammonia annually, while capturing the vast majority of its production-related carbon dioxide. The partners expect the Louisiana facility to begin operations in 2029.
