Beaumont, Texas, July 8, 2024 — The Port of Beaumont and Jefferson Energy Companies, a subsidiary of FTAI Infrastructure, are proud to announce a strategic partnership to develop Jefferson Terminal South, a state-of-the-art blue ammonia facility that will enhance the region's ability to produce and transport clean energy. This effort marks a major expansion for the Port of Beaumont and aims to drive economic growth and strengthen Southeast Texas' position as a key player in the sustainable energy sector.
As part of the partnership, the Port of Beaumont issued $382 million in facility revenue bonds and purchased 51 acres of waterfront property for development of the new terminal, which includes construction of one deep draft berth, with plans for future expansion.
Blue ammonia, which is produced using natural gas with carbon capture technology, will play a significant role in the national transition to cleaner energy sources. The ammonia (NH3) can be used as a fuel source, or it can be used to transport hydrogen (as a carrier), at which point the ammonia can be cracked over a catalyst to produce the desired fuel- hydrogen (H2).
The Jefferson Terminal South project is expected to attract substantial investment and contribute to the region's long-term economic stability. By leveraging the combined expertise and resources of the Port of Beaumont and Jefferson Energy Companies, the partnership aims to deliver a world-class facility that meets the energy needs of the nation. This facility will be the second Jefferson Energy- Port of Beaumont partnership, the first being the 250-acre Jefferson Main Terminal in Orange, Texas, which opened in 2012.
“The Port pursues public-private partnerships such as this to facilitate private investment, which leads to economic growth, job creation, and increased cargo handling capacity for the region. What started as a $60 million Port investment at the Jefferson Main Terminal has turned into a $1 billion public-private partnership that has created over 200 jobs over the last 12 years. The Port is confident this new partnership at Jefferson South Terminal will yield similar results for the community,” said Port Director Chris Fisher
President of the Port of Beaumont Board of Commissioners David Willard added, "Our partnership with Jefferson highlights our commitment to enhancing the region's infrastructure and advancing the clean hydrogen ecosystem in Texas. According to hydrogen.energy.gov, clean hydrogen in the United States has the potential to decrease economy-wide emissions by 10% over the next 25 years, create 100,000+ jobs, and support 450,000 cumulative job-years through 2030. We believe that if you aren’t moving forward, you are falling behind.”
Construction of the new Port of Beaumont dock at Jefferson Terminal South has commenced and is expected to be complete by mid-2025.
About the Port of Beaumont: The Port of Beaumont is a deep-water port located in Beaumont, Texas, that specializes in dry bulk, liquid bulk, breakbulk, project, heavy-lift and roll-on roll-off cargoes. The Port of Beaumont Channel generates more than 67,000 direct, induced, indirect and related-user jobs and is responsible for more than $25.2 billion in economic activity annually. The Port of Beaumont is the largest strategic military outload port in the nation and consistently ranks as a “Top 10” port nationally, in terms of tonnage. Additional information can be found online at portofbeaumont.com or by following the Port on Facebook, Twitter, and LinkedIn.
About Jefferson Energy Companies: Jefferson Energy Companies is a leading logistics and transportation company dedicated to providing efficient and sustainable solutions for the movement of goods. With a focus on excellence and customer satisfaction, Jefferson Energy Companies is committed to supporting the growth and success of its partners and the communities it serves.
About Blue Ammonia: Blue ammonia is a type of ammonia produced using natural gas as a feedstock, where the carbon dioxide (CO2) emissions generated during its production are captured and stored or used, rather than being released into the atmosphere. This process makes blue ammonia a more environmentally friendly option compared to conventional ammonia production, which is a significant source of CO2 emissions. Blue ammonia is important because it serves as a clean energy carrier, allowing for the efficient transport and storage of hydrogen, which is critical for reducing greenhouse gas emissions and advancing the global transition to a low-carbon economy. Its ability to be used as a fuel or a feedstock in various industrial processes makes it a key player in the efforts to combat climate change and achieve sustainability goals.