Abundant natural gas resources
North Dakota is rich in natural gas, which is a primary feedstock for nitrogen fertilizer production. As of 2021, North Dakota ranked sixth in the US in terms of natural gas production. This abundant resource can provide a stable and cost-effective supply for fertilizer production.
Proximity to agricultural demand
North Dakota is a major agricultural state, with farming as one of the leading industries. The state ranks first in the production of several crops, including spring wheat, durum wheat, and canola, which require nitrogen fertilizers. Locally produced fertilizers can serve this demand more efficiently, with reduced transportation costs and emissions.
Job creation and economic
Improved energy security
By producing nitrogen fertilizers domestically, the US can reduce its dependence on foreign sources, increasing energy security and insulating the country from global market fluctuations and geopolitical risks.
Lower transportation costs and emissions
Producing fertilizers locally would decrease transportation distances and related costs. Moreover, shorter transportation routes would lead to lower greenhouse gas emissions.
North Dakota has existing infrastructure, such as pipelines, railroads, and highways, that can be leveraged to support the production and distribution of nitrogen fertilizers.
Control over supply and prices
Local production would allow for better control over supply and prices, making the US less susceptible to global market fluctuations and geopolitical risks.
Diversification of local economy
Establishing a nitrogen fertilizer production facility would add diversification to the economy of North Dakota and support the development of energy infrastructure.
Stronger domestic agricultural sector
Producing nitrogen fertilizers domestically ensures a more stable and reliable supply for the US agricultural sector, which is crucial for maintaining food security and supporting the national economy.