China Energy: foreign investments in ammonia

State-owned enterprise China Energy has announced new ammonia initiatives in three countries over the last few weeks.

Brazil

A partnership with Petrobras (Portuguese language) will see the pair develop renewable energy generation, as well as hydrogen & ammonia production projects in Brazil. This partnership is not expected to launch any projects until later this year, but the announcement reveals the scope of ambitions for the two organisations. Petrobras are seeking to establish themselves as the largest integrated energy company in Brazil, while China Energy reportedly has a budget of $20 billion for investments outside China.

Morocco

China Energy‘s International Construction Group has signed an MoU with Saudi-based Ajlan Bros and Morocco-based Gaia Energy to build a 1.4 million tonnes per year renewable ammonia production plant on Morocco’s south coast. Reportedly, 4 GW of wind power and 2 GW of solar panels will feed production of electrolytic hydrogen, with ammonia to be both used domestically and exported to Europe.

At COP27 last year, Gaia Energy signed an MoU with Israel-based H2Pro to develop a demonstration-sized (10-20 MW), electrolytic hydrogen production plant in Morocco. That plant will be based on H2Pro’s unique electrolysis technology.

Egypt

And construction of China Energy’s $5.1 billion renewable ammonia plant next to the Suez Canal will start next year, according to reports. An MoU for the project was signed between China Energy and SCZONE last December (Chinese language). Featuring a 140,000 tonnes per year hydrogen production facility powered by wind and solar, the project includes an ammonia production plant, with associated storage, handling and export infrastructure.