Wabash Valley Resources to receive $1.6 billion in DoE support
By on September 20, 2024
Second ammonia project to receive conditional loan from LPO
Click to learn more about the DoE’s new $1.6 billion conditional loan to Wabash Valley Resources for its CCS-based ammonia project in Indiana. Source: US Department of Energy.
The US Department of Energy will provide up to $1.6 billion in loan guarantees for Wabash Valley Resources to finance their CCS-based ammonia production project in Terre Haute, Indiana. Once completed, the project would be Indiana’s only ammonia plant, with 500,000 tons per year of anhydrous ammonia amounting to a significant percentage of current usage within the USA’s Corn Belt. The project joins Monolith Material’s Olive Creek project as just the second ammonia plant to receive loan guarantees from the DoE Loan Programs Office (LPO). The LPO is aiming to supply more financial assistance to ammonia projects in the US, including the retrofit of existing facilities to allow for low-emission production.
This close to a-decade-long development phase has been made possible through the dedicated efforts of the Department of Energy, the building trades unions, and our strategic partners. WVR is thrilled to be at the forefront of a new industrial era that harmonizes environmental, social, and economic benefits, and we cannot thank our partners enough.
Dan Williams, WVR COO in his organisation’s official press release, 16 Sept 2024
This project is a win for working families, bringing quality construction jobs to a community that has long relied on coal. By transforming industrial waste into a valuable resource, we are not just cleaning up our environment; we are also putting skilled tradespeople to work, ensuring that the benefits of this project are felt where they are needed most. This is exactly the kind of forward-thinking development that supports both workers and our Communities.
Kenneth Cooper, International President of the International Brotherhood of Electrical Workers in WVR’s official press release, 16 Sept 2024
Creating a large new source of anhydrous ammonia in Indiana would be of enormous benefit to Hoosier farmers. And, manufacturing fertilizer with a low carbon rating is even more powerful.
Don Villwock, former President of Indiana Farm Bureau in WVR’s official press release, 16 Sept 2024
WVR indicates the total investment in this project will be $2.4 billion. In February this year, the EPA awarded WVR two Class VI licenses for underground carbon sequestration, allowing WVR to construct two wells for injection and storage of CO2 underground.
The Loans Program Office participated in the AEA’s 2023 annual conference in Atlanta, highlighting the role of certification in project finance, and encouraging ammonia project developers to engage with the loan programs. The LPO will also be present at our upcoming 2024 event in New Orleans.