DECD0000089

BASF Corporation (BASF) produces oxo-alcohols at a large facility located on a brownfield in Freeport, Texas.

Approximately 150 kilotons (KT) of synthesis gas (syngas) are consumed annually to meet current oxo-alcohol production rates.

BASF also consumes large quantities of natural gas in the steam methane reforming process, which is currently operating at full capacity leading to adverse impacts on equipment and catalyst lifetimes.

This circularity project will divert internal material streams from incinerators to plasma gasifiers.

The plasma gasifiers will produce syngas, which will replace a portion of existing syngas production on-site and reduce natural gas consumption, thereby reducing greenhouse gas (GHG) and criteria air pollutant (CAP) emissions.

Optimization of on-site syngas production from waste streams via plasma gasification will:

1) Reduce product carbon footprint;

2) Reduce BASF carbon dioxide emissions; and

3) Allow BASF to stay competitive in the broader oxo-alcohol product market.

Access to renewable power (solar and wind) through power purchase agreements will improve the site’s carbon footprint and enable BASF to gradually switch from natural gas to electricity for energy needs.

This project will provide tangible benefits to the Freeport community by improving local air quality and creating additional permanent jobs at the BASF Freeport manufacturing site.

Basf Corporation

THE U.S. DEPARTMENT OF ENERGY (DOE) RELEASED FUNDING OPPORTUNITY ANNOUNCEMENT (FOA) DE-FOA-0002936 TO SOLICIT APPLICATIONS IN ACCORDANCE WITH THE INFRASTRUCTURE INVESTMENT AND JOBS ACT (IIJA), ALSO KNOWN AS THE BIPARTISAN INFRASTRUCTURE LAW (BIL), AND THE INFLATION REDUCTION ACT OF 2022 (IRA). WHEN COMBINED WITH PRIVATE SECTOR COST SHARE, THIS FOA REPRESENTS A MORE THAN $12 BILLION OPPORTUNITY TO CATALYZE HIGH-IMPACT, LARGE-SCALE, TRANSFORMATIONAL ADVANCED INDUSTRIAL FACILITIES TO SIGNIFICANTLY REDUCE GREENHOUSE GAS (GHG) EMISSIONS IN ENERGY-INTENSIVE INDUSTRIAL SUBSECTORS. U.S. INDUSTRY IS A BACKBONE OF THE NATION’S ECONOMY, PRODUCING THE GOODS CRITICAL TO EVERYDAY LIFE, EMPLOYING MILLIONS OF AMERICANS IN HIGH-QUALITY JOBS, AND PROVIDING AN ECONOMIC ANCHOR FOR THOUSANDS OF COMMUNITIES. YET THE ENERGY- AND CARBON-INTENSITY OF THE SECTOR, WHICH CONTRIBUTES NEARLY ONE THIRD OF THE NATION’S PRIMARY ENERGY-RELATED CARBON DIOXIDE EMISSIONS, POSES A SIGNIFICANT CHALLENGE AS THE ECONOMY TRANSITIONS TOWARDS NET-ZERO. THIS FOA OFFERED A CRITICAL OPPORTUNITY TO SOLIDIFY A “FIRST-MOVER” ADVANTAGE FOR U.S. INDUSTRY, BOLSTERING ITS COMPETITIVENESS GLOBALLY FOR DECADES INTO THE FUTURE. ACTIVITIES FUNDED UNDER THIS FOA ARE FURTHER EXPECTED TO CREATE GOOD-PAYING JOBS FOR AMERICAN WORKERS, OFFER OPPORTUNITIES FOR BROADLY SHARED PROSPERITY IN COMMUNITIES, AND ENABLE A CLEAN, MORE EQUITABLE FUTURE FOR ALL AMERICANS. DEMONSTRATING THE TECHNICAL AND COMMERCIAL VIABILITY OF INDUSTRIAL DECARBONIZATION APPROACHES WILL PROMOTE WIDESPREAD TECHNOLOGY IMPLEMENTATION AND DRIVE A U.S. EDGE IN LOW- AND NET-ZERO CARBON MANUFACTURING WHILE HELPING TO SUBSTANTIATE A MARKET FOR LOW-CARBON PRODUCTS. TO MAXIMIZE THE TRANSFORMATIVE POTENTIAL FOR THESE FUNDS, DOE IS PRIORITIZING A PORTFOLIO OF PROJECTS THAT OFFER: • DEEP DECARBONIZATION, BY DEMONSTRATING SIGNIFICANTLY LESS CARBON-INTENSIVE INDUSTRIAL PRODUCTION PROCESSES LEADING TO MATERIALS THAT CAN BE LABELED AS HAVING SUBSTANTIALLY LOWER LEVELS OF EMBODIED GREENHOUSE GAS EMISSIONS; • TIMELINESS, THROUGH RAPID TECHNOLOGY DEMONSTRATIONS THAT CAN ADDRESS EMISSIONS IN THE NEAR-TERM, MEET FUNDING HORIZONS, AND BE REPLICATED BY FAST FOLLOWERS; • MARKET VIABILITY, WITH TECHNOLOGICAL APPROACHES DESIGNED TO SPUR FOLLOW-ON INVESTMENTS FOR WIDESPREAD DECARBONIZATION AS WELL AS PARTNERSHIPS BETWEEN BUYERS AND SELLERS OF THE MATERIALS PRODUCED, WITH SPECIAL CONSIDERATION GIVEN TO INDUSTRIES THAT ARE FOCUSING ON SHIFTING ENTIRE ECOSYSTEMS AND ENABLING NEW MARKET STRUCTURES FOR LOW-CARBON PRODUCTS; AND • COMMUNITY BENEFITS, TAILORED THROUGH SUBSTANTIAL ENGAGEMENT WITH LOCAL AND REGIONAL STAKEHOLDERS, AS WELL AS LABOR UNIONS AND TRIBAL NATIONS ACROSS THE PROJECT LIFECYCLE, SUPPORTING ENVIRONMENTAL JUSTICE AND ECONOMIC OPPORTUNITY FOR LOCAL COMMUNITIES.

81.255 - Clean Energy Demonstrations

Department of Energy (DOE)

Freeport, Texas 77541-3001 United States

Single Zip Code

Industrial Decarbonization and Emissions Reduction Demonstration-to-Deployment Funding Opportunity Announcement (DE-FOA-0002936)