Published by Todd Bush on January 28, 2025
[SPRING, Texas, and PARIS, France] – Trammo, Inc. and Exxon Mobil Corporation (NYSE: XOM) have signed a Heads of Agreement (HOA) to advance discussions for Trammo’s long-term offtake of 300,000 to 500,000 tonnes of low-carbon ammonia per year from ExxonMobil’s Baytown, Texas facility.
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The facility is expected to produce virtually carbon-free hydrogen—with approximately 98% of carbon dioxide (CO2) removed—and will use this low-carbon hydrogen to make low-carbon ammonia.
Trammo, a leading international physical commodity trader, will leverage its market and logistical expertise to deliver and sell in Europe and worldwide this unique low-carbon ammonia for use as fertilizer feedstock and for other key industrial applications.
The facility is expected to be the world’s largest of its kind, capable of producing up to 1 billion cubic feet (bcf) daily of low-carbon hydrogen and more than 1 million tons of low-carbon ammonia annually. A final investment decision by ExxonMobil is expected in 2025, with anticipated startup in 2029, subject to supportive government policy, regulatory permitting, and market conditions.
“Our Baytown project continues to make significant strides, attracting more and more customer interest,” said Barry Engle, president of ExxonMobil Low Carbon Solutions. “We’re looking forward to working with Trammo on this first-of-its-kind project which would be a win for America’s Gulf Coast, creating jobs and enhancing U.S. energy exports.”
Trammo SAS President Christophe Savi said: “Trammo is delighted to partner with ExxonMobil in the Baytown project and to sign this HOA. Both companies have a common interest in developing clean and decarbonized solutions for consumers worldwide, including the European market, and this partnership furthers Trammo’s goal of making available in the market significant volumes of low-carbon ammonia by 2030.”
Trammo is a market leader in the seaborne ammonia trade with a unique international footprint. For nearly 60 years, it has been promoting high standards and efficient supply chains all around the world. Trammo owns and has access to ammonia terminal assets. Trammo’s active fleet of fully refrigerated gas carriers is one of the largest in the world, with 12 to 15 carriers ranging in size from 25,000 to 45,000 cbm. The fleet allows Trammo to maintain a large selection of supply sources to help meet the demands of its customers in a timely manner.
Trammo is committed to decarbonizing its supply chain and supporting its customers’ decarbonization initiatives through continuous development of its network of responsible low-carbon ammonia sources.
For more information, visit www.trammo.com.
ExxonMobil, one of the largest publicly traded international energy and petrochemical companies, creates solutions that improve quality of life and meet society’s evolving needs.
The corporation’s primary businesses—Upstream, Product Solutions, and Low Carbon Solutions—provide products that enable modern life, including energy, chemicals, lubricants, and lower emissions technologies. ExxonMobil holds an industry-leading portfolio of resources and is one of the largest integrated fuels, lubricants, and chemical companies in the world. ExxonMobil also owns and operates the largest CO2 pipeline network in the United States.
In 2021, ExxonMobil announced Scope 1 and 2 greenhouse gas emission-reduction plans for 2030 for operated assets, compared to 2016 levels. These plans include:
With advancements in technology and the support of clear and consistent government policies, ExxonMobil aims to achieve net-zero Scope 1 and 2 greenhouse gas emissions from its operated assets by 2050.
To learn more, visit exxonmobil.com and ExxonMobil’s Advancing Climate Solutions.
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