UAE to build 200,000 mt green ammonia plant, expands export push

London (Quantum Commodity Intelligence) - Khalifa Industrial Zone Abu Dhabi (KAZID), a subsidiary of Abu Dhabi Ports, has announced plans to build a new 200,000 mt/year green ammonia plant at a cost of $1 billion.

No completion date was mentioned, but the facility will be developed in two phases over several years, with a 100 MW solar power plant used in the first phase before ramping up to 800 MW in the "near future."

A new special project vehicle company has been created to handle the investment called Helios Industry.

"The adoption of sustainability and green technology has gained significant traction within the GCC and greater MENA region over the past few years," said Abdullah Al Hameli, Head of Industrial Cities & Free Zone Cluster, Abu Dhabi Ports.

"Abu Dhabi Ports is proud to be the host of an innovative company like Helios Industry, and one of the region's first green ammonia plants with zero carbon emission."

The move is the latest in a string of investments in lower-carbon energy sources in the region, particularly hydrogen and the more export friendly ammonia.

Abu Dhabi National Oil Company moved forward plans for a new 1 million mt blue ammonia plant earlier this week.

Supply cooperation agreements have also been made with key potential customers in Asia, particularly Japan and South Korea.

The Helios plant's green ammonia will be made from 40,000 mt of green hydrogen, which is itself produced using electrolysis from renewable electricity.

ADNOC's blue ammonia plant meanwhile will use blue hydrogen, which is made using natural gas and includes a carbon capture and storage (CCS) process to reduce the emissions associated with the final product.