Australia-based Pilot Energy has been approved as a potential low-emission ammonia fuel supplier under the newly-implemented Clean Hydrogen Production Standard (CHPS) scheme in Korea. In Alberta, Korea Southern Power will work with Hydrogen Canada Corporation to jointly develop a 1 million tons per year ammonia production facility.
In this Technology Insights article, we explore the different technology options for low-emission ammonia production from gas feedstock. What are the different energy, carbon capture, scale and maturity trade-offs that need to be considered? What technology choices are project developers currently making?
As shown in the IEA’s recently released Global Hydrogen Review 2024, the cumulative hydrogen production capacity reaching Final Investment Decision has doubled compared to last year. Promisingly, low-emission ammonia comprises a significant portion of both the mature project pipeline and secured offtake volume.
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, producing low-emission fertilizer for use in the US Corn Belt.
Jefferson Terminal South, a new “state-of-the-art blue ammonia facility”, will include one deep draft berth, with expansion already planned. The Port of Beaumont has issued $382 million in facility revenue bonds to help finance construction.
ADNOC will acquire a 35% equity stake in the Baytown mega-project, which is targeting the production of 900,000 tons of CCS-based hydrogen per year. Mitsubishi and project lead Exxon will continue negotiations towards a formal offtake and equity agreement.
Ten08 Energy’s US Gulf Coast low-carbon ammonia production facility is expected to come online by early 2030, initially featuring a 1.4 million metric tonnes-per-year train. The hybrid facility will produce ammonia from both CCS-based and electrolytic hydrogen feedstock. The ammonia will be exported by sea to Europe and Asian markets.
OCI will deliver a fully-staffed, fully-operational ammonia production facility in Beaumont, Texas to Woodside later this year. The greenfield, 1.1 million ton per year facility will be supplied with CCS hydrogen feedstock from Linde starting in 2026.
CF Industries and ExxonMobil will move forward with a carbon capture and sequestration project at CF’s Yazoo City production complex in Mississippi, USA. The new, $100 million project will begin operations in 2028.
The pair will explore a million-ton-per-year ammonia production plant at an undisclosed US location, based on CCS hydrogen production. The plant will be a “potentially important contributor” to INEOS Nitriles’ emission reduction targets, as ammonia is a key feedstock for acrylonitrile manufacturing.