News item | 26-01-2023 | 4:30 pm
OCI NV wants its CO2reduce emissions by a minimum of 0.8 megatons to a maximum of 1.7 megatons before 2030. In 2020, the company emitted a total of 2.2 megatons of CO2 from. In addition, the company wants to emit up to 30% less nitrogen with this tailor-made approach and it is being investigated how the company can further improve the impact on the living environment. OCI has three possible sustainability routes to ensure that green ammonia and green methanol become available in the Netherlands. This is described in the letter of intent (Expression of Principles) signed today by Minister Adriaansens (Economic Affairs and Climate), State Secretary Heijnen (Infrastructure and Water Management), the deputies Baljeu (South Holland) and Van Gaans-Gijbels and Satijn (Limburg), CEO El-Hoshy and Executive Officer de Freeze (OCI).
The importance of green ammonia and methanol
In the Netherlands, OCI produces ammonia and methanol based on natural gas. The company wants to become more sustainable by replacing natural gas as a raw material with green and circular hydrogen. For example, OCI can produce green (and low-carbon) ammonia and methanol. These are important raw materials for making industry, agriculture and the energy transition more sustainable. OCI processes ammonia itself in fertilizer applications, and ammonia and methanol are also used by industry in products we use every day, such as microchips, windmill blades, cleaning products, medicines and medical instruments. Green ammonia and green methanol can also be converted into green hydrogen. This allows them to be used as an energy source in industry and green methanol as a fuel for sustainable shipping. Green ammonia can also be used in electricity generation and is an excellent hydrogen carrier.
Three possible sustainability routes
The letter of intent describes three possible sustainability routes to ensure that the ammonia and methanol that is produced or imported is green (and low-carbon). OCI currently produces in the Netherlands mainly with natural gas as raw material. This can be replaced by hydrogen made from offshore wind or hydrogen from household and green waste. A third option is to import the green ammonia and methanol, for example from OCI’s production facilities in Egypt and the US. In the next phase, the government will work with OCI to work out which route(s) are preferred and which are eligible for customization to reduce CO2reduction in the Netherlands.
These routes also ensure that nitrogen emissions are reduced by up to 30%. In addition, OCI will conduct additional research to further improve the impact on the living environment. In addition to nitrogen emissions, this also involves reducing ammonia and sulfur emissions during the production process. In the further elaboration, efforts will also be made to minimize the risks of OCI’s activities for the safety of the living environment.
Letter of intent part of tailor-made approach
The declaration of intent between the government and OCI is an important step in the tailor-made approach of the government. With the tailor-made approach, the largest industrial emitters can take an extra step to shape new sustainable technologies that lead to less CO2emissions. This challenges companies to come up with ambitious plans themselves to reduce CO2emissions in their own chimney and elsewhere in the chain, and improve their impact on the environment. The cabinet wants to remove as much as possible the uncertainties, obstacles and delaying factors surrounding sustainability with tailor-made solutions. Companies must have a vision on their path to climate neutrality and circularity, so that they can continue to develop their activities in the Netherlands now and in the future. In addition, agreements can be made about, among other things, energy and gas savings, training of technical personnel, limiting nitrogen emissions and matching the supply and demand of electricity.