Yara drops LCEC ammonia acquisition and reallocates capital
- Yara will not proceed with acquiring the LCEC ammonia production and distribution assets from Air Products.
- The December 2025 joint proposal is abandoned because expected financial returns do not meet Yara’s investment criteria.
- Yara is finalizing a marketing and distribution agreement with Air Products for renewable ammonia from the NEOM Green Hydrogen project.
- Yara will reallocate growth capex to mature U.S. ammonia opportunities; the majority of growth capex for 2026–2030 is expected to be deployed into large-scale U.S. ammonia investment, with alternatives at an advanced evaluation stage.
Decision on LCEC acquisition
Yara will not proceed with acquiring the ammonia production and distribution assets of the Louisiana Clean Energy Complex (LCEC) from Air Products. The companies had jointly announced the potential transfer in December 2025. Yara said the project’s expected financial returns do not meet its investment criteria.
NEOM marketing and distribution
Yara confirmed it is finalizing a marketing and distribution agreement with Air Products for renewable ammonia from the NEOM Green Hydrogen project in Saudi Arabia.
Capital reallocation and priorities
Yara will reallocate capital to alternative mature U.S. ammonia investment opportunities with more competitive returns; those alternatives are at an advanced stage of evaluation. The company reiterated its capital allocation priorities and said the majority of growth capex for 2026–2030 is expected to be deployed into large-scale U.S. ammonia investment. Yara also reaffirmed its commitment to disciplined, value-accretive investments, maintaining the dividend policy and strict capital discipline to maximize long-term shareholder returns.
Source: Yara