LONDON (Reuters) – Britain said on Tuesday it had reached an agreement with carbon dioxide producers CF Industries to ensure a sustainable supply of the widely-used gas whose production has been threatened by high global prices.
The deal is the latest agreement struck between the government and the American company to ensure that industries such as meat production – where it is used to stun animals for slaughter and preserve the shelf life of meat – can keep functioning.
CO2 is a byproduct of the fertiliser that is produced by CF Industries which has two plants in northern England.
“The deal will enable CF Fertilisers’ Billingham plant to continue to operate while global gas prices remain high. It means key sectors, including food processing and nuclear power, are ensured supplies of CO2,” the business department said in a statement.
Its statement added: “In the longer term, the government would like to see the market take measures to improve resilience, and we are engaging on ways this could happen.”
(Reporting by William James; editing by Michael Holden)
