Horisont Energi, Sandnes, Norway, on Feb. 1 announced a cooperation agreement with Spanish-based fertilizer producer Fertiberia, Madrid, to join the Barents Blue ammonia project (GM Sept. 17, 2021) located in Finnmark, in northern Norway.
The parties said Barents Blue will produce 1 million mt/y of blue ammonia and it will be the most energy efficient blue ammonia plant in the world, with a best-in-class carbon footprint and well aligned with the EU taxonomy.
“We are proud to announce the cooperation agreement with Fertiberia providing significant experience and competence in developing green ammonia projects on [an] industrial scale,” said Bjørgulf Haukelidsæter Eidesen, CEO of Horisont Energi.
“Fertiberia and Horisont Energi share the ambition of accelerating the transition to carbon neutrality through pioneering projects,” he added. “Equinor and Vår Energi have been instrumental in maturing the project in the development phase ending Jan. 31. We look forward to work with Fertiberia to realize the project, and hence contribute to the decarbonization of European industry and transportation.”
Horisont Energi and Fertiberia aim to conclude a full partnership agreement by April 1, 2023. Equinor and Vår Energi are discontinuing their participating interests in the project. However, the partnership change will take effect as of Jan. 31, and Fertiberia and Horisont Energi will hold 50% and 50%, respectively.
“Our integration in this project is highly synergetic: we bring our experience as a European leader in sustainable crop nutrition to Barents Blue, with more than five decades of cumulated knowhow in the design, maintenance and operation of ammonia plants and with valuable expertise in the management of ammonia supply chains,” said Javier Goñi, CEO of Grupo Fertiberia.
“Fertiberia was the first large company in the crop nutrition sector to manufacture CO2-free ammonia and crop nutrition solutions on an industrial scale in Europe. Being part of the Barents Blue project is a new opportunity for Fertiberia to accelerate our transformation and growth process in the production of clean ammonia, extend its uses to new areas such as transport and energy and become the first company in our sector to achieve carbon neutrality by 2035,” Goñi continued.
Barents Blue’s 3,000 mt/d blue ammonia project will use natural gas from the Barents Sea. Carbon will be captured and transported by ship to the Polaris reservoir for storage, with an estimated capacity in excess of 100 million mt below the seabed offshore Finnmark. Horizont said the amount is twice Norway’s annual greenhouse gas emissions. The carbon capture rate is expected to exceed 99%.
The Barents Blue project is supported by a grant of NOK 482 million under the EU IPCEI hydrogen program, which is not affected by the changes in the partner consortium. Equinor remains positive toward explore gas supply solutions to the Barents Blue project from Melkøya following the changes in the partner consortium. Horisont Energi will invite new partners into the Polaris CO2 storage license, including a qualified operator. A new license group will bring the project forward to a submission of plan for development.