TA’ZIZ in deal to set up low-carbon ammonia facility

Fertiglobe, Mitsui, GS Energy in planned 1m-tonne-a-year project in Abu Dhabi

This is a significant milestone in the development of our low-carbon ammonia business and strengthens UAE’s hydrogen value proposition.”

The Abu Dhabi Chemicals Derivatives Company (or TA’ZIZ) has lined up a shareholder agreement with ADX-listed Fertiglobe, GS Energy Corporation and Mitsui & Co., Ltd. for a potential 1 million ton per annum lowcarbon ammonia production facility. This will be at the TA’ZIZ Industrial Chemicals Zone. The shareholder agreement is seen as the next step in the project’s ‘journey towards a final investment decision’ (FID).

“This is a significant milestone in the development of our low-carbon ammonia business and further strengthens the UAE’s hydrogen value proposition,” said Khaleefa Yousef Al Mheiri, TA’ZIZ acting CEO.

Khaleefa Yousef Al Mheiri | Acting CEO of TA’ZIZ

Collective strengths

“We are building on the collective strengths of our partners and shareholders to develop the first-of-its-kind large-scale low-carbon ammonia project in the Middle East and North Africa.

The facility will help ‘reinforce Abu Dhabi’s position as a leader in low-carbon fuels’ and ‘capitalise on the growing demand for low-carbon ammonia as carrier fuel for clean hydrogen’.

The new deal also builds on Adnoc’s deep experience in carbon capture, utilisation and storage (CCUS), Fertiglobe’s ammonia capabilities, and Mitsui and GS Energy’s leading roles in industrial decarbonisation.

Key demand centres

This follows several agreements signed by Adnoc to explore hydrogen supply opportunities with customers in key demand centres, including the Ministry of Economy, Trade and Industry of Japan, Japan’s Mitsui and Korea’s GS Energy.

The shareholder agreement highlights the international investor interest in TA’ZIZ and closely follows Adnoc and Fertiglobe’s sales of lowcarbon ammonia demonstration cargos to customers in Japan, Korea and Germany.