CF Industries partners with ExxonMobil for carbon capture and sequestration in Mississippi

CF Industries Holdings, Inc., a leading ammonia producer, announced that it is proceeding with its planned carbon capture and sequestration (CCS) project at its facility in Yazoo City, Mississippi.  

The CCS project is said to reduce 500,000 carbon metric tons of carbon emissions annually.  

The transportation and sequestration of the emissions will be done in partnership with ExxonMobil. The sequestration of the CO2 will reportedly begin in 2028. 

Also read: Exxon under fire again for falling short on climate commitments 

CF Industries plans to invest around $100 million in its Yazoo City Complex to construct a CO2 dehydration and compression unit. 

This unit will capture up to 500,000 metric tons of CO2 produced as a byproduct of ammonia manufacturing, enabling its transport and storage.  

Once ExxonMobil begins sequestration, CF Industries anticipates that the project will be eligible for tax credits under Section 45Q of the Internal Revenue Code, which offers a credit per metric ton of CO2 sequestered. 

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