Egyptian billionaire Nassef Sawiris’ OCI N.V. to build ammonia plant in Texas

OCI N.V., a global producer and distributor of nitrogen and methanol products led by Egyptian billionaire Nassef Sawiris, is set to begin construction of a world-scale 1.1-million-tonne-per-annum blue ammonia project in Beaumont, Texas, as the group seeks to expand operations and diversify earnings.

“The recent passage of the IRA, which bolsters the regulatory framework and competitiveness of clean ammonia in the United States, in addition to technological developments in carbon sequestration, is supporting ammonia as a key driver of the energy transition,” OCI N.V Executive Chairman Nassef Sawiris said, explaining the reasoning behind the launch of the new project.

In reaction to the announcement, OCI N.V. shares closed at €38.04 ($38.35) on Fri., Sept. 9, 4.68-percent higher than their opening price on the Euronext Stock Exchange, as investors renewed buying interest in the Netherlands-based nitrogen and methanol product producer.

As a result of the price increase, the market value of Sawiris’ 38.8-percent stake in OCI N.V. rose by $215 million, bringing his net worth and year-to-date wealth gains to $6.81 billion and $312 million, respectively.

As part of the effort to expedite the project’s completion, the construction of the mega facility has been awarded to Maire Tecnimont on an engineering and procurement basis, with the site work slated to commence in the coming weeks.

OCI N.V. stated that the project is well under way, with detailed engineering and procurement work having begun this year and production scheduled to begin in the first quarter of 2025.

The blue ammonia plant, whose capacity will later double to 2.2 million tonnes per year, complements OCI N.V.’s Rotterdam ammonia throughput expansion, according to the group.

In the future, as green hydrogen becomes more widely available, the project will be designed to transition from blue to green ammonia production.