Avina Clean Hydrogen (Avina) has completed the front-end engineering and design (FEED) for its 800,000 tonne-per-annum clean ammonia facility in the Texas Gulf Coast and is targeting a final investment decision (FID) later this year.
The clean fuel solutions provider confirmed the news, describing it as what it believes to be the first completed FEED for a large-scale clean ammonia facility in the US.
If FID is achieved this year, Avina hopes to start operations at the facility in 2028. The plant will produce clean ammonia by utilising a blend of blue and electrolytic hydrogen. Avina has signed a long-term water supply agreement with the local water district, ensuring sufficient water access to produce the clean ammonia.
The facility will comply with Renewable Fuels of Non-Biological Origin (RFNBO) standards, aligning with European Union guidelines.
Vishal Shah, founder and CEO of Avina Clean Hydrogen, said the project will also leverage existing energy infrastructure and create several hundred high-paying jobs.
The FEED was carried out by engineering specialists KBR and Larsen & Toubro (L&T). KBR has previously provided the basic engineering design package for the plant and continued to support the design activities. L&T led the overall FEED effort.
Derek Shah, Senior Vice-President and Head of L&T Energy Green Manufacturing and Development, said that the company’s contribution to the product aligns with its commitment to advancing sustainable energy solutions.
According to market research firm Statista, the US is one of the world’s leading producers and consumers of ammonia. In 2023, the production of ammonia in the US amounted to an estimated 14 million metric tonnes.
Ammonia was produced by 17 companies at 36 facilities in the US that year.
Global demand for ammonia is estimated to increase to more than 600 million metric tonnes by 2050, due to the new demands from shipping and power generation markets.
Blue ammonia is further predicted to meet two-thirds of demand by 2050, with many countries around the world setting decarbonisation targets. This could mean an estimated market size for low-carbon ammonia of over $200bn by 2050.
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