NextEra Resources enter into joint venture with CF Industries for clean hydrogen project

Published on April 26, 2023 by Dave Kovaleski

NextEra Energy Resources has entered into a joint venture with CF Industries Holdings, the world’s largest producer of ammonia, to develop a zero-carbon-intensity hydrogen project at CF Industries’ Verdigris Complex in Oklahoma.

The proposed project was part of the application submitted to the U.S. Department of Energy (DOE) this month by a group called HALO Hydrogen Hub. The HALO Hydrogen Hub is a three-state effort established by Arkansas, Louisiana, and Oklahoma to compete for funding from the DOE’s regional clean hydrogen hub program.

NextEra and CF Holdings have proposed a jointly owned 100-megawatt (MW) electrolysis plant at the Verdigris Complex that would be powered by a 450-MW renewable energy facility developed by NextEra Energy Resources. CF Industries would receive 100 percent of the zero-carbon green hydrogen output from the site’s electrolyzers. The green hydrogen would then be used to produce up to 100,000 tons per year of zero-carbon green ammonia, which would be facilitated by Verdigris’ ammonia plants. CF Industries expects the resulting green ammonia production to support the transition of American agriculture to low- and zero-carbon fertilizers.

“The use of decarbonized ammonia in agriculture offers the most certain, quantifiable, and verifiable way to reduce the lifecycle carbon footprint of the food we eat,” said Tony Will, president and CEO at CF Industries. “We are pleased to work with NextEra Energy Resources to explore how best green hydrogen could help accelerate the adoption of low- and zero-carbon ammonia and ammonia-derived nitrogen fertilizers in the United States and contribute to decarbonizing the agriculture supply chain.”

This would help to remove up to 130,000 metric tons of carbon dioxide emissions from the agriculture supply chain each year.

“NextEra Energy Resources is committed to leading the decarbonization of the American economy, and the agriculture industry is fundamental to that goal,” said Rebecca Kujawa, president and CEO of NextEra Energy Resources. “We are honored to work with CF Industries to bring green hydrogen production to its Verdigris Complex while also creating additional jobs and economic benefits for the state of Oklahoma.”

NextEra Energy is a leader in clean energy and one of the largest generators of electric power, generating approximately 27,400 megawatts of power in 40 states and Canada.