Air Products and Yara International plan to combine their strengths in low-emission hydrogen and global ammonia distribution to accelerate large-scale clean ammonia production.

Air Products is developing the Louisiana Clean Energy Complex, expected to be the world’s largest low-carbon hydrogen facility, producing over 750 million standard cubic feet per day while capturing 95 per cent of CO₂ emissions.

After the ammonia plant meets performance targets, Yara intends to acquire related production, storage and shipping assets for about a quarter of the $8–9 billion project cost, integrating all ammonia output into its global network.

Air Products will supply Yara with 80 per cent of the hydrogen under a 25-year offtake agreement, enabling production of 2.8 million tonnes of low-carbon ammonia annually.

The remaining hydrogen will serve U.S. Gulf Coast customers, while around five million tonnes of CO₂ per year will be permanently sequestered by a third party. Final investment decisions are expected by mid-2026, with completion in 2030.

The partners are also linked through the NEOM Green Hydrogen Project in Saudi Arabia, now over 90 per cent complete and targeting 2027 commercial operations. Air Products will offtake up to 1.2 million tonnes of renewable ammonia annually, with Yara expected to market unsold volumes globally. Together, the companies aim to meet rapidly growing demand for low-emission ammonia, especially in Europe.

“We are pleased to be working with Yara, the world’s leading fertiliser company, as we advance the global low-emission ammonia market and maximise value from our projects in Louisiana and Saudi Arabia,” said Air Products’ Chief Executive Officer Eduardo Menezes.  

“Air Products’ two advanced projects are a strong strategic fit with Yara’s flexible nitrogen system – enabling energy diversification and profitable decarbonisation while aligning with our disciplined capital allocation policy. The Louisiana project builds on a proven, capital-efficient model; producing ammonia from externally sourced hydrogen and delivering strong returns,” said Yara’s CEO Svein Tore Holsether. -OGN/TradeArabia News Service