A $3.7 billion project backed by CF Industries, Japan’s JERA and Mitsui & Co. has officially broken ground in Louisiana, setting the stage for what is expected to become the world’s largest ammonia plant and one of the biggest low-carbon industrial projects in the United States.
Blue Point One, being built in Modeste, Louisiana, is designed to produce 1.4 million metric tons of ammonia annually when it begins operations in 2029. The facility is expected to create more than 100 permanent manufacturing jobs and roughly 3,900 construction jobs over four years.
The groundbreaking drew senior U.S., Louisiana and local officials, including U.S. Agriculture Secretary Brooke Rollins, Deputy Agriculture Secretary Stephen Vaden, Assistant Secretary of the Army for Civil Works Adam Telle and U.S. Representative Julia Letlow.
CF Industries owns 40% of the joint venture, JERA owns 35% and Mitsui owns 25%.
The project is aimed at serving both traditional agricultural markets and emerging energy applications, while expanding U.S. ammonia production and exports.
CF Industries President and Chief Executive Officer Chris Bohn said the project will combine domestic resources with international partnerships to strengthen the U.S. fertilizer and energy supply chain.
“We are proud to break ground on the Blue Point One joint venture, a transformative project that brings together American energy resources, world-class engineering and partnerships, and trusted global allies.
"Most importantly, this facility will serve people, growing access to the reliable, domestic nitrogen supply American farmers need to feed the world, expanding our nation's export capacity through shipping American-made energy to global markets and creating jobs in Louisiana.”
Blue Point One is expected to be among the first ammonia plants globally to use autothermal reforming (ATR) technology, which helps produce hydrogen for synthesis with nitrogen in the ammonia-making process.
The facility is designed to capture and permanently sequester 98% of the carbon dioxide generated during production, a feature CF Industries says will give the plant the lowest environmental footprint of any large-scale ammonia production facility in the world.
The project also includes major investments beyond the ammonia plant itself.
CF Industries plans to spend an additional $550 million over four years on shared infrastructure intended to support future ammonia production and fertilizer upgrades. Linde is investing more than $400 million in an on-site air-separation unit that will supply oxygen and nitrogen to the facility.
Carbon dioxide generated at the plant will be transported and permanently sequestered through a joint venture between 1PointFive, a subsidiary of Occidental, and Enbridge.
Louisiana officials are touting the project as a major economic and industrial investment.
Secretary of Louisiana Economic Development Susan Bourgeois said: "Louisiana has always been a state that produces what America and the world depend on, and Blue Point One builds directly on that legacy. From helping provide American farmers with a reliable domestic supply of fertilizer to expanding our ability to manufacture and export critical products here at home, this project strengthens industries that matter to our economy and our national security. This is Louisiana doing what we do best: putting our resources, workers and industrial expertise to work for America.”
JERA Global Energy Solutions Chief Executive Officer, JERA Senior Managing Executive Officer, Chief Operating Officer of Low Carbon Fuels Business Irtiza Sayyed said the project is intended to establish a lower-carbon ammonia supply chain.
“Today’s groundbreaking marks an important milestone for Blue Point One and brings us one step closer to establishing a reliable low-carbon ammonia value chain. At JERA, we believe that energy transition must be supported by practical projects and strong partnerships across the value chain. Blue Point One reflects this belief, bringing together partners with a shared commitment to build the foundation needed to scale lower-carbon ammonia for the future.”
Mitsui & Co. President and Chief Executive Officer Kenichi Hori said: "We are delighted to celebrate the groundbreaking of Blue Point One and sincerely thank our partners, the State of Louisiana, the local community, and all stakeholders whose support has made this milestone possible. Building on Mitsui's long-term commitment to Louisiana, this project further strengthens the enduring partnership between the United States and Japan and advances a low-carbon ammonia value chain that contributes to supply chain resilience in the U.S., Japan, and beyond.
"We look forward to working closely with our partners to deliver this project safely and successfully, while contributing to the long-term prosperity of the region and its communities.”
The project is also expected to reshape the industrial economy of Ascension Parish and the surrounding communities.
Ascension Parish President Clint Cointment said: "CF Industries has long been more than an industry partner in Ascension Parish. They consistently step up to support our schools, parks, and community initiatives, and the CF Blue Point project represents an even deeper investment in our people and our future. This groundbreaking is about far more than turning dirt. It is about creating good-paying jobs, strengthening our local economy, and positioning Ascension Parish at the forefront of the next generation of industry. Ascension Means Business and today is another powerful example of what that means."
Donaldsonville Mayor Leroy L. Sullivan said: "CF Industries has been a valued partner in our community for nearly 60 years. Their continued investment has created meaningful opportunities for families and businesses throughout Donaldsonville and now the Modeste community.
"The Blue Point One investment further demonstrates CF Industries’ long-standing commitment to our area, and we look forward to the jobs, economic growth, and lasting ripple effects this investment will generate for our communities and future generations.”
