So we are engaged in a FEED study also on an integrated stand-alone auto thermal reforming technology plants that cost estimates from those probably won’t be in for about another 12 months. We’re also engaged in a study on doing flue gas capture, so that theoretically, the alternative to get to a very, very low carbon intensity number could be auto thermal. It could be a conventional steam methane reformer with flue gas capture technology added to it. So we’ve got a number of different potential pathways going forward. And we’re excited about the developing appetite and new demand applications for clean ammonia. As I mentioned in my earlier comment, we’re also very excited about the fact that even in traditional applications, we think the world is going to be nutrient short going forward.
So I think the demand is clearly out there. We are — as I said, the best operators of these kind of assets in the world. And given North America’s access to plentiful low-cost natural gas and a very favorable framework around rule of law as well as carbon capture and sequestration. This is increasingly recognized as the place to be. So I think all of that sets up very well for us in terms of evaluating these different types of opportunities. And we are, as you said, engaged in conversations with numerous parties. They all look to us because we are the global leader in this space. And we think we can navigate any kind of conflicts and manage that situation through a variety of ways, including the fact that we’re going to have multiple sources of decarbonized pneumonia from a production standpoint, not only potentially if we build a new plant at our BluePoint complex, but also at Donaldsonville, Waggaman once we add TCS there our Yazoo City, Mississippi facility once we add CCS there.
And so we’ll have multiple points of production, multiple ways of navigating potential conflict should they arise. And honestly, we’re just really excited about the opportunities ahead of us.
Stephen Byrne: Thank you.
Operator: And our next question will come from Richard Garchitorena with Wells Fargo. Please go ahead.
Richard Garchitorena: Great. Thank you. Just with the Waggaman acquisition, closing December 1st. I was wondering if you could give us an update in terms of your thoughts on the ramp-up once you take ownership. I believe the plant was running probably sub-90%, operating rates under IPL. So how long do you think it can take you to get those operations up to the rest of your plants? And related to that, any synergies that you think you’ve sort of unveiled given the recent work that you’ve done since you first announced the acquisition would be great?
Tony Will: Yes. I mean I think the biggest synergy from our perspective is the fact that we think we can consistently run that plant at higher rates and get incremental tons that come out of it into the network. And so that’s where basically all those incremental tons are purely at variable cost and therefore, at very high margins, and that’s first and foremost the most important aspect of this. I think it also gives us some flexibility as we think about scheduling turnarounds and chip from ship to locations it’s a plant that is on the pipeline. And so it’s got access into the terminalling system in the Midwest. And it just gives Bert some additional flexibility in terms of how he thinks about minimizing aggregate logistics and transportation costs.
So that’s really kind of how we’re thinking about the plan. But first and foremost, the biggest value is we’re buying it, I think, at an attractive value for us. I think it’s attractive for IPL as well, and we think we can get more tons of production out of it that should generate some very nice incremental margin for us.
