Oslo — Yara International ASA and BASF report that they have made good progress with their plan to jointly build a world-scale ammonia plant on the U.S. Gulf Coast. The proposed plant would be located at the existing BASF site in Freeport, Tex., have an annual capacity of 750,000 mt, and be based on a hydrogen-synthesis process. The two companies announced last October that they were eyeing a plant in the U.S. Gulf (GM Oct. 21, p. 1), but did not provide a site or capacity projection at the time. They say further details are currently under discussion. The project is subject to final approval from the respective boards of directors of BASF and Yara. BASF, which has a strong presence in the U.S., is currently a major user of ammonia for its U.S. downstream activities and intends to further strengthen its backward integration. Yara, with its global ammonia network and market expertise, seeks to strengthen its presence in the U.S.
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