8 April 2024

OCI Global and COMPO EXPERT announce long-term lower carbon ammonia supply for the production of lower carbon NPK fertilizers

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OCI Global and COMPO EXPERT announce long-term lower carbon ammonia supply for the production of lower carbon NPK fertilizers

OCI Global (Euronext: OCI), a world-leading producer of nitrogen, methanol, and hydrogen products is supplying COMPO EXPERT, a producer of high-quality specialty fertilizers and biostimulants, with lower carbon ammonia for use in the production of COMPO EXPERT’s NPK fertilizers, with the first delivery having taken place this week.

COMPO EXPERT will initially replace 25% of the ammonia it uses at its facility in Krefeld, Germany, with OCI’s lower carbon product this year and has plans in place to further increase the ratio of OCI supplied lower carbon ammonia in its production over the next two years.

OCI will supply COMPO EXPERT with ammonia that guarantees a 60% lower carbon footprint 60% than the industry standard[1]from its facilities in Texas, USA via OCI’s proprietary ammonia terminal and distribution hub at the Port Of Rotterdam.

OCI has supplied COMPO EXPERT with ammonia for fertilizer production for over a decade and the switch to lower carbon ammonia is testament to both companies’ commitment to sustainability and the decarbonization of their products.

Aviv Bar Tal, Global VP Commercial Nitrogen at OCI Global said:

‘We’re delighted to be supplying COMPO EXPERT with our lower carbon ammonia and supporting them in their ambitions to lower the carbon footprint of their fertilizers. We have enjoyed a long-term partnership with COMPO EXPERT, further cemented by this agreement, which will see them start to use lower carbon ammonia in their production at Krefeld from this year.  OCI’s goal is to increase the volume of lower carbon products we supply to our distribution customers in Europe, gradually replacing conventional products with more sustainable ones. We are significantly increasing our production of lower carbon ammonia, including at our Texas Blue Clean Ammonia facility currently under construction, which has capacity for an additional 1.1 million tonnes per year, and via our terminal in Rotterdam we will support the European decarbonization of existing industries and future energy and bunkering customers.

Dr. Ingo Müller, Chief Executive Officer (CEO) of  COMPO EXPERT said:

At COMPO EXPERT, we are dedicated to providing cutting-edge solutions whilst minimizing the negative impact on the environment. In a holistic approach, we do not only consider our own production, but also our raw materials as well as the transportation and application of our products. As ammonia is our most important raw material, and has the largest contribution to our carbon footprint, replacing 25% of our demand in 2024 with a lower carbon variety is an important step with a major contribution to our goal. We very much appreciate the efforts of our long-term partner OCI to provide us with a lower carbon raw material and thus supports us in offering more sustainable products. For us, ammonia with a lower carbon footprint is not just a technological advancement; it is a pivotal step towards a more sustainable agriculture.

[1] based on an industry standard of 2.6 kgCO2e/kgNH3. OCI has been certified for the production of lower carbon ammonia and the carbon footprint calculation has been verified by third party auditors SCS global.

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