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RePowerEU: supporting the full switch of existing hydrogen production to renewables
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The European Commission has announced its latest plan to reduce the EU’s dependence on fossil imports. RePowerEU will encourage a full switch from fossil-based hydrogen to renewable hydrogen, based on the use of carbon contracts for difference. A hydrogen utilisation target of 20 million tonnes per year has also been set, composed of 10 million tonnes from domestic production and 10 million tonnes of imports. Of these imports, the EU has also forecast 4 million tonnes will be in the form of hydrogen-as-ammonia. The new plan marks a significant increase in ambition from the Fit-for-55 package released in July 2021.

Government funding for ammonia energy in the UK
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The Department for Business, Energy and Industrial Strategy (BEIS) will contribute to three ammonia energy projects via the latest funding round of its Net Zero Innovation Portfolio:

  • The Tyseley Ammonia to Green Hydrogen Project near Birmingham, where a demonstration ammonia cracking unit based on H2SITE’s technology will be built to deliver hydrogen transportation fuel.
  • The GreeNH3 project from Supercritical, ScottishPower and Proton Ventures to develop a renewable ammonia pilot plant based on Supercritical’s new electrolyser technology.
  • And the Ammonia Synthesis Plant from Intermittent Renewable Energy (ASPIRE) project. Partners the Science and Technology Facilities Council (STFC) and Frazer-Nash Consultancy are developing autonomous renewable ammonia production plants in the UK.

Total: renewable ammonia production in Egypt
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Total has signed a new MoU with the General Authority for Suez Canal Economic Zone (SCZONE) to develop a renewable ammonia project in Ain Sokhna, Egypt. The first phase targets production of 300,000 tonnes of renewable ammonia per year. SCZONE is now involved with six renewable hydrogen-based projects near the Suez Canal totaling more than $10 billion in investment, and featuring about 1.5 million tonnes of renewable ammonia production in the first phase (expanding to at least 6 million tonnes per year).

DoE funding for ammonia energy
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As part of a new round of funding announcements, the US Department of Energy will contribute nearly $10 million to three significant ammonia energy initiatives:

  • GTI Energy (a recent rebrand of the Gas Technology Institute) will develop a prototype ammonia-powered gas turbine.
  • Raytheon will develop and demonstrate an ultra-low NOx emitting ammonia combustor module for gas turbines.
  • And 8 Rivers received backing to complete a pre-FEED study for its CCS ammonia project in Evanston, Wyoming.

Nutrien planing world-scale clean ammonia facility in Geismar, Louisiana
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Nutrien has announced plans for a $2 billion, million-tonne-per-year CCS ammonia production facility in Geismar, Louisiana. Nutrien will partner with Denbury, who will handle the construction & operation of necessary CCS infrastructure, with permanent underground sequestration to occur. Mitsubishi Corporation has agreed to off take up to 40% of the produced ammonia, which will be exported to the “Asian fuel market”.

Building ammonia supply chains into the Port of Rotterdam
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The state government of Queensland has signed a new agreement with the Port of Rotterdam to develop an ammonia export supply chain between Australia and the EU. The announcement comes the same week that the Port of Rotterdam authority set a target of supplying industrial centers in northwest Europe with 4.6 million tonnes of hydrogen by 2030 - the vast majority of which will need to be imported. As to the question of when those imports will begin, the Rocky Mountain Institute has released a new report indicating the EU should be ready to receive renewable hydrogen as soon as significant capacity comes online in 2024.

Unlocking CCS ammonia potential in Europe
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The first episode of our new series Ammonia Project Features revealed interesting details about current and future low-carbon ammonia projects in Europe. Bjørgulf Eidesen (Horisont Energi) explained that the Barents Blue project aims to set an ambitious new standard for low-carbon ammonia production, particularly by demonstrating transparency on its CO2 footprint & other sustainability indicators. But, although Europe’s technical capacity for carbon storage is far greater than what will be required, Toby Lockwood (Clean Air Task Force) reminded us that progress is slow, with only half the capacity required by 2030 currently developed. Supporting policy, tight regulations and funding support is all required from a government level.

Green Ammonia Volume Analysis – A Roadmap Towards 2030
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Yara Clean Ammonia, together with NCE Maritime CleanTech and with analysis support from DNV, have delivered a volume analysis and roadmap for the use of renewable ammonia in the Norwegian domestic shipping sector. With the right policy levers in place, renewable ammonia can meet and reach beyond the 2030 decarbonisation targets for the Norwegian domestic fleet, reducing emissions by as much as 69%.

Australia’s first gas-to-hydrogen pipeline transition to feed ammonia production near Perth
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APA Group and Wesfarmers Chemicals, Energy and Fertilisers (WesCEF) have signed a new MoU to investigate the potential of feeding renewable hydrogen to existing ammonia production facilities in Kwinana, near Perth. Sections of APA’s existing Parmelia Gas Pipeline are being assessed for conversion to carry 100% hydrogen. If successful, the pipeline could become a “pure renewable hydrogen service”. In Kwinana, plans are already underway for multiple newbuild hydrogen & ammonia projects.

Momentum builds for CCS ammonia on the US Gulf Coast
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This week we explore three announcements on the US Gulf Coast:

  • North American pipeline giant Enbridge will join forces with Humble Midstream to develop a low-carbon ammonia export project near Corpus Christi, Texas. The project will be built within the Enbridge Ingleside Energy Center, currently the largest crude oil storage and export terminal in the US.
  • Talos Energy, Chevron and Carbonvert will jointly develop the Bayou Bend CCS project in eastern Texas, where 275 million tonnes of carbon emissions could potentially be sequestered beneath the sea bed.
  • And more details have emerged about CF Industries’ joint CCS ammonia project with Mitsui. The greenfield facility is expected to cost around $2 billion, and will produce between 1 - 1.4 million tonnes of ammonia per year.