May 29, 2024 [KED Global]- Global major chemical company Ineos Group Ltd. and South Korea’s chemicals-to-defense conglomerate Hanwha Group joined hands to build a low-carbon ammonia facility in the US to meet the growing demand across the world.
Ineos Nitriles, a unit of the British multinational conglomerate, and Hanwha Corp., the holding company of the South Korean group, said on Tuesday they agreed to jointly study a low-carbon ammonia facility with carbon sequestration in the US with a capacity of more than 1 million tons a year.
The two companies are set to explore the feasibility of a facility to meet the growing global demand for ammonia with low-carbon emissions. The final investment decision is planned for 2026 with planned commercial operation in 2030.
“Our collaboration with INEOS Nitriles is aimed at strengthening our strategic foothold in the global ammonia market and addressing the growing worldwide demand for clean ammonia solutions,” said Kiwon Yang, CEO of Hanwha Corp. Global Division, which provides sustainable materials and chemicals.
LOW-CARBON MATERIALS
Ineos Nitriles is the world’s top maker of acrylonitrile used in the production of plastics and resins as it manufactures 1.3 million tons a year at three plants – two in the US and one in Germany, according to Ineos Group’s annual report for 2023.
Acrylonitrile is manufactured by combining ammonia, propylene and air in a process called ammoxidation.
“This project is a potentially important contributor to INEOS Nitriles’ carbon emission reduction targets in 2030 and its net zero ambitions by 2050,” said Ineos Nitriles CEO Hans Casier.
“This project would be a significant step towards a leadership position in low-carbon acrylonitrile supply of which ammonia with low-carbon emissions is a key raw material.”
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