Linde to build new $1.8bn complex to supply to OCI’s blue ammonia facility in US

Linde will invest $1.8 billion to build a new complex in Beaumont, Texas as part of its long-term contract with Netherlands-based chemical company OCI.

The on-site complex will include autothermal reforming with carbon capture and a large air separation facility.

Linde will integrate the new complex with its Gulf Coast industrial gas infrastructure to supply clean hydrogen and nitrogen to OCI’s blue ammonia facility in Beaumont.

The German chemical company will supply OCI with clean hydrogen by sequestering more than 1.7 million metric tons of carbon dioxide emissions each year.

Linde will also use its pipeline network to supply atmospheric and rare gases as well as clean hydrogen to current and new customers in the US Gulf Coast.

Sanjiv Lamba — Linde CEO said: “Our strategy is to support decarbonization by working with off-takers, like OCI, to safely and reliably supply low carbon industrial gases at scale.

“With Linde’s track record in successfully executing complex projects, its extensive pipeline network, and support from the US Inflation Reduction Act, the company is well positioned to secure many more clean energy projects.”

OCI’s Beaumont hydrogen-based blue ammonia facility is expected to cost below $1 billion and is expected to manufacture 1.1 million metric tons per annum (mtpa), with a potential to doubling to 2.2mtpa capacity in the future.

Ahmed El-Hoshy — OCI CEO said: “The Beaumont facility will allow us to build and strengthen our world-leading blue ammonia and clean fuels platform, supplying both the U.S. and export markets with blue ammonia, an ideal solution to decarbonize hard-to-abate sectors such as agriculture, power and marine fuels at a competitive cost.

“Linde’s expertise in managing large-scale and complex engineering projects, and safely and reliably delivering industrial gases, made it a solid choice as a partner for this project.”

Both the projects are expected to go live in 2025.