Production at CF Industries' Billingham ammonia plant is to be halted as the company says the spiralling cost of gas is making it uneconomical.
The US fertiliser manufacturer issued a statement saying it had not yet decided when the temporary shutdown would occur, but that it did not anticipate an impact on jobs. It will continue ammonium nitrate (AN) and nitric acid upgrade activities at the North East base using imported ammonia.
The move has ramifications for the UK food and drink industry which uses the CO2 byproduct of the ammonia production process. CF, the largest CO2 producer in the UK, said it had notified customers which include meat producers that use the gas to stun animals before they are slaughtered and drinks manufacturers which use it in the carbonisation process.