Pacific Green Fertilizer Corp., a Delaware corporation owned by Swiss-based Atlas Agro, is planning a green nitrogen plant for Richland, Wash., that will be focused on ammonium nitrate (AN) production. The company inked a real estate purchase and sale agreement with the Port of Benton, a municipal corporation in Washington, on March 8.
Pacific Green’s development plan is for a 1 million square foot fully renewable hydrogen production facility to form ammonia, nitric acid, and AN. The company has not yet indicated approximate capacity goals. The capital expenditure is put at $1.2 billion and the company expects the facility to employ 160. The project’s timeline is for groundbreaking is 2024, with the plant to be operational in 2026-2027.
According to the size of the plant, the company said peak electricity demand is between 220-300 MW, with Pacific Green exploring additional energy storage to help reduce the peak demand burden. The company said logistics is highly focused on the final product shipment to farmers, with minimal import of resources. It expects to use 10 railcars per day and/or 25 trucks, with rail highly preferable.
The Port of Benton has agreed to assist the company in securing rail access via spur to the Southern Connection 16-mile rail line to Kennewick, Wash. The port has a barge slip on the Columbia River.
The company said it would prefer to purchase land rather than lease, with an ideal site having access to rail and reasonable proximity to interstate or suitable state highways. It said if no rail option is available, the company is open to using barges to ship its products to farmers and distribution centers.
“We can focus on building new, green nitrate assets in the optimal locations,” the company said on its website. “We will build our factories in the market, near the farmer, providing security of supply and avoiding the traditional inter-continental shipping of fertilizer with an associated time, cost, and carbon emissions.”
Pacific Green said by 2030 it will build and license a number of renewable fertilizer plants, build a new generation of fertilizer distribution in attractive markets, and leverage its position as a large, low-cost hydrogen producer to help incubate hydrogen businesses.
Atlas Agro is focused on producing green AN fertilizer. It said most of the world’s nitrogen fertilizer capacity is for urea, which is a carbon-containing fertilizer that cannot be made green as it contains a CO2 in the molecule. The company touts AN as a superior fertilizer, saying it can directly be consumed by crops, unlike urea, which must be converted to nitrates by soil bacteria. This conversion process acidifies the soil, the company said, leading to burned roots.
The company added that AN has 90% lower volatilization loss than urea, provides a higher yield and better crop quality, and is more conducive to precision farming.
As a new entrant into the fertilizer sector, Atlas Agro said it does not have to worry about cannibalizing existing polluting assets or the costs involving in closing down unprofitable plants.
Atlas Agro said it is currently working closely with partners on project development in the US, Brazil, and Paraguay, and encourages anyone interested in zero-carbon nitrogen or explosives to reach out to the company.
Atlas Agro’s business model focuses on utilizing clean energy sources to power electrolyzers that will split water into hydrogen and oxygen. The company said its goal is to establish fully renewable production of three major nutrients—phosphate, potash, and nitrogen.
The local newspaper, Tri-City Herald, reported that the company indicated it will rely on nuclear power to fuel the operations, but this could not be confirmed with Atlas Agro this week.
The company put down a $400,000 deposit for land at the Port of Benton, and the exact acreage will be determined in connection with the company’s pre-development activities. Under the agreement, the company can buy up to 260.1 acres. The first 150 acres are priced at $1.39 per square foot, which would equate to a total of $9.08 million. Beyond 150 acres, the price is $2.09 per square foot.
Prior to closing the deal, the buyer would have to receive all approvals necessary from local governmental authorities with respect to permitting, construction, zoning and/or land use matters, as well as satisfying the requirements of the Washington State Environmental Policy Act. The deal must close by March 1, 2026.
Atlas Agro North America has opened an office in Richland. It has hired staff and is looking for more in the areas of general management, project development, sales, finance, and strategic operations.