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Tag: Green ammonia

Japanese investment interest in renewable ammonia project

Six Japanese companies have agreed to explore investment opportunities for a large-scale green ammonia plant in Odisha, India, being planned by Acme Group. Last year, IHI Corporation agreed to import up to 400,000 t/a from Acme’s project. IHI has now signed a memorandum of understanding with Hokkaido Electric Power, Mitsubishi Gas Chemical Company, Mitsui OSK Lines (MOL), Mizuho Bank, and Tokyo Century Corporate. The partners plan to create a special-purpose company for ammonia production and investment participation. Hokkaido Electric is testing ammonia co-firing at its coal-fired power plant and studying infrastructure needs, while Mitsubishi Gas Chemical wants to decarbonise its ammonia use. Mizuho Bank is planning to invest up to $13 billion in hydrogen and ammonia supply chains by 2030, and Tokyo Century is exploring green ammonia as part of its shift beyond solar to support carbon neutrality.

EPC contract awarded for green fertilizer project

ATOME says that it has signed a $465 million fixed-price, lump-sum engineering, procurement and construction contract with Casale for its 260,000 t/a green fertiliser plant at Villeta, Paraguay. ATOME believes that this is the first dedicated green fertiliser facility of this scale worldwide. The plant will use 100% renewable baseload power to generate hydrogen for ammonia to supply low carbon fertilizer for the Mercosur region. The project timeline is 38 months, with start-up and first ammonia production expected in 2028. Casale joins Yara, Hy24, AECOM, Natixis, IDB Invest and ANDE as partners to the project. In March ATOME signed non-binding heads of terms with Hy24’s managed Clean H2 Infra Fund for an up to $115 million investment in the project. A full definitive equity agreement is expected in Q2 2025, with final investment decision and full financial closure targeted by the end of the quarter. The full terms envisage a total funding for the project of approximately $625 million which includes not only the cost of construction but also financing, interest, transaction and supervision costs during the build period, with at least 60% coming from debt finance with the balance represented by project equity. ATOME says that negotiations on the definitive full offtake agreement with Yara International are “proceeding well”, with senior Yara representatives having had a successful visit to Paraguay at the end of January. It is anticipated that the definitive agreement will be signed by early Q2 2025, subject to necessary approvals.

ExxonMobil and Trammo sign low carbon ammonia offtake agreement

Trammo, Inc. and ExxonMobil signed a heads of agreement to advance discussions for Trammo’s long-term offtake of 300-500,000 t/a of low-carbon ammonia from ExxonMobil’s Baytown, Texas facility. The facility is expected to produce virtually carbon-free ‘blue’ hydrogen with approximately 98% of CO2 removed, and will use this low-carbon hydrogen to make low-carbon ammonia. Trammo, a leading international physical commodity trader, will leverage its market and logistical expertise to deliver and sell in Europe and worldwide this unique low-carbon ammonia for use as fertilizer feedstock and for other key industrial applications.

Casale to license renewable ammonia plant

Casale is partnering with Indian renewable energy company Avaada Group to develop a 1,500 t/d green ammonia plant in Gopalpur, Odisha. This represents India’s largest grassroots green ammonia facility to date, and will be powered entirely by renewable energy. Casale will provide the ammonia process license, basic engineering package, proprietary equipment, and detailed engineering review, ensuring the facility operates at the highest levels of efficiency and sustainability. The plant will use Casale’s FlexAMMONIA technology, part of the FLEXIGREEN® portfolio.

Fertiglobe expects FID on green ammonia projects soon

In its 4Q 2024 results presentation, Abu Dhabi-based Fertiglobe said that it expects to reach a final investment decision (FID) on two clean hydrogen and ammonia projects in the US and Egypt in 2025. Fertiglobe confirmed that FID on the ADNOC-ExxonMobil low-carbon hydrogen and ammonia project in Baytown, Texas, is expected in 2025, with operations anticipated to begin in 2029. ADNOC’s 35% equity stake in the project will be transferred to Fertiglobe at cost once the project is operational.