CF Industries Starts CO2 Sequestration at Louisiana Donaldsonville Complex

CF Industries has launched a carbon dioxide (CO2) dehydration and compression facility at its Donaldsonville Complex in Louisiana, enabling the transportation and permanent underground storage of up to 2 million metric tons of CO2 annually that would otherwise be emitted into the atmosphere. This initiative, in partnership with ExxonMobil, currently uses enhanced oil recovery for interim CO2 storage but plans to transition to dedicated permanent storage beginning with ExxonMobil's Rose CCS project in Texas, pending final permits expected later this year. The Rose project is part of ExxonMobil's broader effort to expand its integrated CCS network along the Gulf Coast. The new infrastructure allows CF Industries to produce approximately 1.9 million metric tons of low-carbon ammonia per year and qualify for federal tax credits under Section 45Q of the Internal Revenue Code, which rewards CO2 sequestration. Tony Will, president and CEO of CF Industries, described the project as a historic milestone that accelerates decarbonization efforts while generating valuable tax credits. The partnership underscores a significant step forward in reducing industrial emissions and advancing low-carbon chemical production in the U.S.