Fortescue Future Industries and Incitec Pivot will progress plans to convert the Gibson Island ammonia production facility to run on renewable hydrogen feedstock. A grant from Australian government body ARENA will help FEED work begin immediately, with FID expected around 2025. We also explore more renewable project updates from Peru and Chile.
For the latest episode of Ammonia Project Features, we explored the ongoing renewable ammonia project in Puertollano, Spain. Marc van Doorn (Grupo Fertiberia) and Imanol Arrizabalaga Prado (Nel ASA) discussed progress to date and technologies used at the first large-scale, electrolysis-based hydrogen facility in Europe, which is operated by renewable energy developer Iberdrola. We also considered what other pioneering projects are on the horizon, and how can electrolyzer manufacturers like Nel scale-up to meet growing demand?
Mission Possible Partnership has launched a new transition strategy for the global ammonia sector. Endorsed by a series of key ammonia energy players from across the supply chain, Making net-zero ammonia possible sets out a series of levers, mechanisms and priorities for the coming decade to ensure the ammonia sector achieves a 50% emissions reduction target by the mid 2030s, before almost fully decarbonising by 2050.
The European Parliament has recently voted on key changes to the Renewable Energy Directive II. The changes include new renewable fuel targets for industry, scrapping the “additionality” clause, and easing temporal & geographical restrictions on electricity PPAs for hydrogen production. A new, €3 billion Hydrogen Bank has also been announced in a bid to close the investment gap in Europe.
ENGIE has successfully reached a final investment decision on Project Yuri. The collaboration with Yara will see renewable hydrogen feedstock produced next door to Yara’s existing ammonia & fertiliser production facility in Karratha, Western Australia, with construction to commence this year, and production of renewable hydrogen to begin in 2024.
In further developments, Yuri has new stakeholders, with Mitsui & Co. securing a 28% interest stake in Yuri, and Technip Energy being selected to lead EPCC works. And in certification news, the Smart Energy Council also announced it has granted pre-certification for renewable hydrogen & ammonia production from Project Yuri, under the Zero Carbon Certification Scheme.
US-based First Ammonia has announced a new reservation deal with Topsoe for delivery of solid-oxide electrolysers. Initially, First Ammonia will purchase 500 MW of SOECs from Topsoe’s new manufacturing plant in Herning, Denmark, with the option to expand to 5 GW over the lifetime of the agreement. That initial 500 MW will be deployed over two First Ammonia production projects, both targeting commercial operations in 2025: one in northern Germany, and one in southwest USA.
Ohmium will deliver electrolysers to Tarafert to integrate into their new build ammonia & urea plant in Durango, northern Mexico. The ammonia plant is CCS-based, but an electrolyser facility & 1 GW solar farm will be built next door to give plant operators two different sources of low-carbon hydrogen feedstock: one CCS-based, and the other solar-based.