LSB Clean Energy – Houston Ship Channel Low Carbon Ammonia Project
In October 2023, LSB Industries, INPEX Corporation, Air Liquide and Vopax Exolum Houston jointly announced their agreement to collaborate on the pre-FEED (Front-End Engineering Design) for the development of a large-scale, low-carbon ammonia production and export project on the Houston Ship Channel. If the development proceeds, the project’s first phase is targeted to produce more than 1.1 million metric tonnes per annum (MTPA) of low-carbon ammonia by the end of 2027, with options for future expansions.
- Air Liquide to collaborate with INPEX on low-carbon hydrogen production for use as feedstock for LSB-operated ammonia loop, in addition to carbon capture and nitrogen production.
- LSB Industries to collaborate with INPEX, Japan’s largest E&P company, on the production and marketing of low carbon ammonia; JV agreement being negotiated.
- Facility to sit on Vopax Exolum Houston Ship Channel site.
- Expected production of 1.1 million metric tonnes of blue ammonia per year and sequestration of ~1.6 million metric tonnes of CO2.
“This project is well aligned with our strategy to become a leader in the global energy transition through the production of low-carbon ammonia,” stated Mark Behrman, LSB Industries President and CEO. “As a long-standing, highly experienced nitrogen producer and developer of nitrogen production facilities, we are uniquely positioned to play a key role in a critical element of this project by overseeing the design, construction and operation of the ammonia loop. We are excited to be part of this consortium, comprised of best-in-class energy-related companies, and look forward to working with them as we make the vision of this world scale clean ammonia facility a reality.”
Strategic Location for Low-Carbon Ammonia Production on Houston Ship Channel
The preferred facility’s location on the Houston Ship Channel, the second largest petrochemical corridor in the world, leverages existing infrastructure assets. Vopak Moda has invested in storage and handling infrastructure for bulk liquid products and currently operates an ammonia terminal that includes storage tanks and a newbuild dock with multiple deep-water berths. The project also has access to utilities and would be near multiple pipelines that could supply raw materials like natural gas and water.
