[서울=뉴스핌] Reporter Choi Hyun-min = DL Group participated in the Canadian fertilizer plant project and established a bridgehead for entry into the North American blue (clean) ammonia market.
According to DL E&C on the 21st, DL signed a contract with Canadian fertilizer company Genesis Fertilizers at the Canadian Embassy in Korea on the 20th to perform design and technology licensing work in the fertilizer factory project.
DL E&C is responsible for the basic design, and Carbonco, a subsidiary specializing in carbon dioxide capture, utilization, and storage (CCUS) technology, supplies licenses for CCUS technology. With this contract, DL enters the Canadian market for the first time.
This project is to build a plant to produce fertilizer by processing 1,500 tons of blue ammonia per day in Belle Plaine, Saskatchewan, south-central Canada. When the plant is completed, it will produce approximately 1.05 million tons of fertilizer per year. The total contract amount is 35 million dollars (about 48.671 billion won), and work is scheduled to be completed by 2026.
Carbonco’s CCUS technology will be applied to this factory. Carbonco and Genesis Fertilizers have been discussing details such as the scale of collection and storage after signing a technology provision agreement (LOA) related to the project last September. This is the first time that a domestic company has exported CCUS technology to a large-scale overseas project.
Ammonia, a key raw material for fertilizers, is extracted from natural gas, and a huge amount of carbon dioxide is emitted in this process. Carbonco captures approximately 700,000 tons of carbon dioxide annually based on an amine-based absorbent that has high technological maturity and is capable of large-scale capture. The captured carbon dioxide is sent by pipeline to an underground storage facility about 10 km away and stored permanently. It has a structure that produces blue ammonia with carbon dioxide removed and also produces eco-friendly fertilizer using this as a raw material.
Through this contract, DL E&C has increased the possibility of winning orders for the main project worth a total of $2 billion (about 2.78 trillion won). Genesis Fertilizers plans to place orders for follow-up projects through an engineering, procurement, and construction (EPC) method based on the 14-month basic design.
As North American countries such as the United States and Canada have successively announced policies to support eco-friendly businesses, new orders for related plants are also increasing. In particular, Genesis Fertilizers’ fertilizer plant also became eligible for tax credits under Bill C-59 announced by the Canadian government last June, which was a positive factor. Investment in the eco-friendly sector is also active. According to the Global Sustainable Investment Alliance (GSIA), the amount invested in eco-friendly sectors in North America in 2020 was $19.5 trillion (KRW 272 trillion), accounting for about 55% of the global investment amount ($35.3 trillion).
Jae-ho Yoo, head of DL E&C’s Plant Business Division, said, “Canada is expected to continue to place orders for large-scale plant construction as it is rich in resources such as natural gas. We will further strengthen our position in the North American market by successfully completing this design.”
min72@newspim.com
**Given the nascent stage of the blue ammonia market, what measures will DL Group take to ensure the economic viability and long-term sustainability of this fertilizer plant project?**
## Interview: DL Group Enters North American Blue Ammonia Market
**Host:** Welcome to World Today News! Today, we’re joined by two experts to discuss DL Group’s groundbreaking entry into the North American blue ammonia market through their partnership with Canadian fertilizer company Genesis Fertilizers. Our guests are: [Guest 1 Name and credentials, specializing in], and [Guest 2 Name and credentials, specializing in].
**Section 1: Project Overview and Technological Impact**
**Host:** Let’s start with the basics.
* **Guest 1, can you tell us more about this fertilizer plant project and its significance? What sets it apart from conventional ammonia production facilities?**
* **Guest 2, DL Group’s Carbonco subsidiary will be providing CCUS technology. Can you elaborate on the importance of this technology in producing blue ammonia and its broader implications for mitigating carbon emissions?**
**Section 2: Market Dynamics and DL Group’s Strategy**
**Host:** This project appears strategically timed, given the growing demand for sustainable solutions.
* **Guest 1, what are some key drivers behind the rising interest in blue ammonia in North America, specifically in the context of fertilizer production? How do you see this market evolving in the coming years?**
* **Guest 2, DL Group is a newcomer to the Canadian market. What advantages does this project offer DL Group, and how might it pave the way for future expansion in North America?**
**Section 3: Economic and Environmental Impacts**
**Host:**
This project promises significant economic and environmental benefits.
* **Guest 1, what are the potential economic benefits of this fertilizer plant for both Canada and South Korea? How might it contribute to job creation and local development?**
* **Guest 2, besides reducing carbon dioxide emissions from ammonia production, are there any other environmental benefits associated with this plant? What are the long-term environmental implications of scaling up blue ammonia production?**
**Section 4: Outlook and Future Potential**
**Host:** Looking ahead, what are the potential implications of this project for the broader adoption of blue ammonia technology?
* **Guest 1, what are some of the key challenges and opportunities associated with the commercialization of blue ammonia? What further advancements are needed to ensure its widespread adoption?**
* **Guest 2, how might this project serve as a model for other collaborations in the clean energy sector, potentially expanding beyond ammonia production?**
**Host:** Thank you to both our guests for providing such insightful perspectives on this exciting development. The collaboration between DL Group and Genesis Fertilizers represents a promising step towards a more sustainable future for energy and agriculture.
We encourage our viewers to stay tuned for more updates on this project and the evolving landscape of blue ammonia technology.
