Solutions provider, OCI Global and independent liquid terminal company, NuStar Energy have announced that their affiliates have entered into an agreement for OCI to transport ammonia on a new segment of NuStar Pipeline.
Under the arrangement, NuStar will install a new 14 mile pipeline segment that will connect OCI’s nitrogen facility in Wever, Iowa, USA with NuStar’s existing 2,000 mile anhydrous ammonia pipeline, which originates in Louisiana, USA and flows northbound to various points in the Midwest.
NuStar chairman and CEO Brad Barron says: ‘We are pleased to partner with OCI to better serve the area’s agricultural needs by delivering more ammonia…We expect this healthy-return, low-capital project to meaningfully increase utilisation of our system in 2024 and we are excited about the growing interest in ammonia – to reduce emissions and supply the globe.’
‘We are excited to work with NuStar, a leader in safe and responsible midstream operations. This highly cost effective project allows us to safely and sustainably reach new customers, strengthens our position in the premium US Midwest market, and is one further step in our ammonia logistics…Our plant in Iowa has been central to our US operations since starting up in 2017 and we look forward to continued investment in the region,’ adds OCI global CEO, Ahmed El-Hoshy.
