Air Products Planning $4.5 Billion Blue Hydrogen Clean Energy Complex in Louisiana

Louisiana Gov. John Bel Edwards and Air Products’ Chairman, President and CEO Seifi Ghasemi announced the company will develop a $4.5 billion clean energy complex near Burnside in Ascension Parish.

This will be the largest permanent carbon dioxide sequestration endeavor to date. Air Products will construct a manufacturing complex to produce more than 750 MMcf/d of blue hydrogen, with carbon dioxide from the manufacturing process captured and permanently sequestered.

The plant will be the first carbon-capture project in Louisiana for Air Products, a world-leading industrial gas manufacturer that provides hydrogen and other gases to refineries, petrochemical plants and other customers in Louisiana, across the Gulf Coast and around the globe.

The project will create 170 new direct jobs. Louisiana Economic Development estimates it will result in 413 new indirect jobs, for a total of 583 new jobs for Ascension Parish and the Capital Region. Air Products also will retain 334 existing jobs in the state. The company estimates the project will create more than 2,000 construction jobs over three years.

“This is a major industrial investment that will create quality manufacturing jobs while limiting environmental impacts, a goal envisioned by my Climate Initiatives Task Force,” Gov. Edwards said. “Carbon capture and sequestration are important to Louisiana’s efforts to reduce carbon dioxide emissions while maintaining jobs and growing our manufacturing base. This project is a clear demonstration of our ability to grow the Louisiana economy while lowering the carbon footprint of industry."

"Blue" products are made using hydrocarbons as a feedstock, with carbon dioxide from the production process captured for permanent sequestration. Carbon dioxide is recognized as a major source of human-caused emissions contributing to climate change. Carbon capture and sequestration, or CCS, keeps the greenhouse gas out of the atmosphere by capturing it at the production site and storing it in reservoirs far underground. 

About 95 percent of the carbon dioxide generated at the Air Products facility will be captured, compressed and transported by pipeline to multiple inland sequestration sites located along a pipeline corridor extending up to 35 miles to the east of the complex. More than five million metric tons per year of carbon dioxide will be permanently sequestered in geologic pore space secured from the State of Louisiana about a mile below ground.

“This landmark megaproject will not only create jobs but make Louisiana and Ascension Parish leaders in the U.S. clean energy transition,” Ghasemi said. “Air Products is fully invested in and committed to projects that leverage our build-own-operate, technology, financial and sustainability capabilities, and this project brings all of those core strengths together. We look forward to building on our long partnership with Louisiana and constructing a facility that will serve as a leading example of clean energy production around the globe.”

The project is expected to be operational in 2026.

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