09.05.14

Hoeven Congratulates CHS on Advancing Fertilizer Plant, Continues to Press for DOE Support

Plant Will Provide Farmers with Local, Low-Cost Source of Fertilizer, Reduce Flaring, Create Jobs and Economic Growth

BISMARCK, N.D. – Senator John Hoeven today said Cenex Harvest States’ (CHS) decision to move forward with construction of an innovative, $3 billion fertilizer plant in Spiritwood, N.D is good news for the company, good news for farmers and good news for North Dakota.

Hoeven has been pressing the U.S. Department of Energy (DOE) to secure a more than $1 billion Advanced Fossil Energy loan guarantee for the project. Hoeven recently met with Energy Secretary Ernest Moniz at his Washington office and also raised the issue with him at the Quadrennial Energy Review meeting in Bismarck last month.

“This is an innovative project that benefits our farmers, our environment and our economy,” said Hoeven. “The plant will convert natural gas into anhydrous ammonia, providing our farmers with a low-cost, local source of fertilizer while reducing flaring and creating jobs and economic activity. The project has tremendous benefits for our state and the community of Spiritwood.”

The CHS Board of Directors approved final plans for the approximately $3 billion project at its September meeting. Groundbreaking will take place following completion of additional details, with the plant intended to be fully operational in the first half of calendar year 2018. When complete, the plant will employ 160-180 people.

CHS’ plant will use state-of-the-art technology to convert Bakken natural gas into ammonia. Ammonia produced at the plant would help to reduce U.S. farmers’ reliance on foreign sources of fertilizer. The plant is expected to reduce CO2 emissions by 592,000 tons per year.

The CHS plant is one of only two fertilizer plants to be built in the United States in the last 30 years.