Environmental & Social Information • Feb 6, 2023
Environmental & Social Information
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Amsterdam, The Netherlands / 6 February 2023
OCI N.V. (Euronext: OCI) and Linde plc (NYSE: LIN; FWB: LIN), a leading global industrial gases and engineering company, today announced a partnership where Linde will supply clean hydrogen and nitrogen to OCI's new blue ammonia facility under development in Beaumont, Texas under a long-term agreement.
Linde will build, own and operate an on-site complex which will include autothermal reforming with carbon capture, plus a large air separation plant. The new complex will be integrated into Linde's extensive Gulf Coast industrial gas infrastructure. It will supply clean hydrogen and nitrogen to OCI's 1.1 million ton per annum blue ammonia plant, the first greenfield blue ammonia facility of this scale to come onstream in the United States.
Linde will supply OCI with clean hydrogen, by sequestering more than 1.7 million metric tons of carbon dioxide emissions each year. OCI will upgrade the hydrogen to produce blue ammonia, which allows OCI to materially reduce the carbon footprint of its downstream customers along the value chain across a wide range of industries.
Linde's total investment will be approximately \$1.8 billion, and OCI's total investment cost is expected to be below \$1 billion, including spending on upsized utilities and available land to allow for doubling to 2.2 mtpa capacity in the future. The project is expected to start up in 2025.
"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 market with blue ammonia, an ideal solution to decarbonize hard-to-abate sectors such as agriculture, power and marine fuels at a competitive cost," said Ahmed El-Hoshy, Chief Executive Officer of OCI N.V. "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."
"Linde's capabilities are already enabling the transition to a low carbon intensity economy," said Sanjiv Lamba, Chief Executive Officer, Linde. "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 U.S. Inflation Reduction Act, the company is well positioned to secure many more clean energy projects."
OCI N.V. (Euronext: OCI) is a leading global producer and distributor of hydrogen-based products providing low carbon fertilizers, fuels, and feedstock to agricultural, transportation, and industrial customers around the world. OCI's production capacity spans four continents and comprises approximately 16.2 million metric tons per year of hydrogen-based products including nitrogen fertilizers, methanol, biofuels, diesel exhaust fluid, melamine, and other products. OCI has more than 3,850 employees, is headquartered in the Netherlands and listed on Euronext in Amsterdam.
Learn more about OCI at www.oci.nl. You can also follow OCI on Twitter and LinkedIn.
Linde is a leading global industrial gases and engineering company with 2021 sales of \$31 billion (€26 billion). We live our mission of making our world more productive every day by providing high-quality solutions, technologies and services which are making our customers more successful and helping to sustain and protect our planet.
The company serves a variety of end markets including chemicals & energy, food & beverage, electronics, healthcare, manufacturing, metals and mining. Linde's industrial gases are used in countless applications, from life-saving oxygen for hospitals to high-purity & specialty gases for electronics manufacturing, hydrogen for clean fuels and much more. Linde also delivers state-of-the-art gas processing solutions to support customer expansion, efficiency improvements and emissions reductions.
For more information about the company and its products and services, please visit www.linde.com
For additional information contact:
OCI N.V. Investor Relations:
Hans Zayed Director Email: [email protected]
Tel: +31 (0) 6 18 251 367
For additional information on OCI:
OCI stock symbols: OCI / OCI.NA / OCI.AS
Honthorststraat 19 1071 DC Amsterdam The Netherlands
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