TOPIC PAGE: Sustainability in the fertilizers industry

Erica Sesay

19-May-2022

Updated on 19 May.

On this topic page, we gather the latest news, analysis and resources, to help you to keep track of developments in the area of sustainability in the fertilizers industry.

LATEST NEWS HEADLINES

Canadian Nutrien plans to build world’s largest clean ammonia facility in Louisiana
By Mark Milam 18-May-22 23:31 HOUSTON (ICIS)–Canadian fertilizer producer Nutrien announced it is evaluating Geismar, Louisiana as the site to build the world’s largest clean ammonia facility, which it estimates could achieve output of 1.2m tonnes/year.

Japan’s JGC Holdings awards green ammonia plant contract to KBR
By Jonathan Lopez 11-May-22 16:50 MADRID (ICIS)–KBR is to license its green ammonia technology and provide basic engineering to JGC Holdings’ new plant in Japan, the US engineering services firm said on Wednesday.

US ReMo Energy launches green ammonia product to address fertilizer cost and climate change
By Mark Milam 10-May-22 23:03 HOUSTON (ICIS)–US company ReMo Energy has announced the launch of its first commercial product, a renewable fertilizer which it says addresses the combined challenges of high fertilizer costs and climate change.

Norway’s Yara evaluates potential stock listing of Yara Clean Ammonia unit on Oslo Stock Exchange
By Nurluqman Suratman 04-May-2022 SINGAPORE (ICIS)–Yara is evaluating a potential initial public offering (IPO) of its Yara Clean Ammonia (YCA) business on the Oslo Stock Exchange, the Norwegian fertilizer major said on Wednesday.

Saskatchewan government extends 4R Nutrient Stewardship agreement for three more years
By Mark Milam 29-Apr-22 17:25 HOUSTON (ICIS)–The government of Saskatchewan announced it has re-signed a 2016 memorandum of co-operation (MOC) with Fertilizer Canada to continue their 4R Nutrient Stewardship efforts in the province for an additional three years.

Anuvia Plant Nutrients secures funding to scale US production of sustainable fertilizer
By Mark Milam 27-Apr-22 19:57 HOUSTON (ICIS)–Fertilizer manufacturer Anuvia Plant Nutrients has announced it raised $65.5m to increase production capacity at its US based manufacturing facility and expand commercialization of its bio-based fertilizers.

Verde AgriTech announces technology to incorporate microorganisms in fertilizer products
By Mark Milam 26-Apr-22 19:53 HOUSTON (ICIS)–Verde AgriTech announced that it has created a new technology that enables the incorporation of microorganisms to Verde’s multinutrient potassium fertilizers branded as Bio Revolution.

Bayer to partner with Ginkgo to produce sustainable fertilizers
By Erica Sesay 25-Apr-22 12:10 LONDON (ICIS)–Germany’s Bayer AG and US-based biotech company Ginkgo Bioworks are pursuing an agreement to produce more environmentally friendly nitrogen fertilizers and agricultural solutions.

OCI looking to expand Texas nitrogen output and create renewable fuel plant
By Mark Milam 21-Apr-22 23:09 HOUSTON (ICIS)–Fertilizer producer OCI is looking at expanding its existing ammonia and methanol complex located near Beaumont, Texas, by adding increased nitrogen production. The company is also planning a renewable fuel plant which will convert lumber waste synthesis gas which would then be turned into methanol that OCI would utilise to create renewable gasoline.

Australia Orica and H2U Group partner on Gladstone green ammonia project
By Mark Milam 12-Apr-22 20:59 HOUSTON (ICIS)–Australian fertilizers and explosive manufacturer Orica and H2U Group (H2U) have announced a strategic partnership agreement to initiate the first phase of the proposed H2-Hub Gladstone green ammonia project in Queensland.

Canada sets tax credit of up to 60% for carbon capture projects
By Stefan Baumgarten 08-Apr-22 15:50 TORONTO (ICIS)–Canada’s federal government will grant a tax credit of up to 60% for investments in carbon capture, utilisation, and storage (CCUS) projects.

Keras Resources increases ownership of the Diamond Creek Phosphate Mine in Utah
By Mark Milam 04-Apr-22 22:37 HOUSTON (ICIS)–Mineral resource company Keras Resources announced that it now owns 100% of Falcon Isle Resources and Falcon Isle Holdings which owns the high-grade Diamond Creek organic phosphate lease and mine and the Spanish Fork processing facility in Utah.

UK delays urea restrictions to support farmers as fertilizer costs at record high
By Deepika Thapliyal 30-Mar-22 10:23 LONDON (ICIS)–The UK has delayed introducing restrictions on the use of urea by at least a year to support farmers with fertilizer availability and keep their costs down, the nation’s Department of Environment, Food and Rural Affairs (DEFRA) said.

EU CARBON BORDER ADJUSTMENT MECHANISM (CBAM) EXPLAINED

What is it?

The risk of carbon leakage frustrates the EU’s efforts to meet climate objectives. It occurs when companies transfer production to countries that are less strict on emissions, or when EU products are replaced by more carbon-intensive imports.

This new mechanism would counteract this risk by putting a carbon price on imports of certain goods from outside of the EU.

How will it work?

EU importers will buy carbon certificates corresponding to the carbon price that would have been paid, had the goods been produced under the EU’s carbon pricing rules.

Conversely, once a non-EU producer can show that they have already paid a price for the carbon used in the production of the imported goods, the corresponding cost can be fully deducted for the EU importer.

This will help reduce the risk of carbon leakage by encouraging producers in non-EU countries to make their production processes greener.

A reporting system will apply from 2023 with the objective of facilitating a smooth roll out and to facilitate dialogue with non-EU countries. Importers will start paying a financial adjustment in 2026.

How is the fertilizer industry affected?

The fertilizer industry is one of the sectors to fall under the CBAM.

The more energy-intensive nitrogen fertilizers will be affected most in the sector by the mechanism.

DEFRA CONSULTATIONS EXPLAINED

The UK’s Department for Environment, Food & Rural Affairs (DEFRA) launched a consultation at the beginning of November 2020 on reducing ammonia emissions from urea fertilizers. The consultation ran until 26 January 2021.

It set out three options for tackling ammonia emissions:

  • A total ban on solid urea fertilizers
  • A requirement to stabilise solid urea fertilizers with the addition of a urease inhibitor.
  • A requirement to restrict the spreading of solid urea fertilizers to between 15 January and 31 March of a given year.

Liquid urea is excluded from any new rules or restrictions.

DEFRA is currently analysing the feedback received.

In March 2022, DEFRA announced that it had delayed introducing restrictions on the use of urea by at least a year to support farmers with fertilizer availability and keep their costs down

Should DEFRA decide to restrict the use of urea in the future, growers would be left with just ammonium nitrate-based fertilizers.

PREVIOUS  NEWS HEADLINES

EU states agree to back carbon border tax

Yara to develop novel green fertilizer from recycled nutrients

USDA announces plans for $250m grant programme to support American-made fertilizer

Canada seeks guidance to achieve fertilizer emissions target

Fertilizer titan Pupuk Indonesia develops hydrogen/blue ammonia business

India launches green hydrogen/ammonia policy, targets exports
Canada AmmPower to develop green hydrogen and ammonia facility in Louisiana

US DOE awards grant to project to recover rare earth elements from phosphate production

Fertiglobe, Masdar, Engie to develop green hydrogen for ammonia production

Czech Republic’s Spolana enhances granular AS production

India’s Reliance to invest $80bn in green energy projects

Yara, Sweden’s Lantmannen aim to commercialise green ammonia by 2023

Novatek and Uniper target Russia to Germany blue-ammonia supply chain

Fertz giant Yara goes green with electrification of Norwegian factoryCanada

Arianne Phosphate exploring use of phosphate for hydrogen technology

FAO and IFA renew MoU to promote sustainable fertilizer use

Sumitomo Chemical, Yara to explore clean ammonia collaboration

Sri Lanka revokes ban on imports

Tokyo scientists convert bioplastic into nitrogen fertilizer

Aramco plans Saudi green hydrogen, ammonia project

China announces action plan for carbon peaking & neutrality

Saudi Aramco targets net zero emissions from operations by 2050

Fertiglobe goes green with Red Sea zero-carbon ammonia pro

Australian fertilizer major Incitec Pivot teams up for green ammonia study

INTERVIEW: BASF to scale up new decarbonisation tech in second half of decade – CEO

India asks fertilizer companies to speed up production of nano DAP

Japan’s Itochu set to receive first cargo of blue ammonia for fertilizer use

Norway’s Yara acquires recycled fertilizers maker Ecolan

Bayer Funds US start-up aims to cut nitrogen fertilizer use by 30%

BP: Green ammonia production in Australia feasible, but needs huge investment

Origin and MOL explore shipping green ammonia from Australia

India’s IFFCO seeks to export nano urea fertilizer

Sri Lanka reinstates ban on import of chemical fertilizers

Nutrien to cut greenhouse gas emissions 30% by 2030

READ MORE

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