Abu Dhabi National Oil Company (ADNOC) announced on Monday that it will develop a world-scale “blue” ammonia production facility in Abu Dhabi.
The facility, which has moved to the design phase, will be developed at the new TA’ZIZ industrial ecosystem and chemicals hub in Ruwais.
The announcement comes as ADNOC continues to be an early pioneer in the emerging hydrogen market.
Blue ammonia is made from nitrogen and “blue” hydrogen derived from natural gas feedstocks, with the carbon dioxide by-product from hydrogen production captured and stored.
Ammonia can be used as a low-carbon fuel across a wide range of industrial applications, including transportation, power generation and industries including steel, cement and fertiliser production.The facility’s capacity will be 1,000 kilotons per annum, ADNOC said in a statement carried by state news agency WAM.
In recent months, ADNOC has signed a number of agreements to explore hydrogen supply opportunities with customers in key demand centres including Japan and Korea.
This builds on the mandate given to ADNOC from the Supreme Petroleum Council in November to explore opportunities in hydrogen and hydrogen carrier fuels such as blue ammonia, with the ambition to position the UAE as a hydrogen leader.
ADNOC is already a major producer of hydrogen and ammonia, with over 300,000 tons of hydrogen produced per annum at the Ruwais Industrial Complex.
Dr Sultan bin Ahmed Al Jaber (pictured above), Minister of Industry and Advanced Technology and ADNOC managing director and group CEO, said: “This is a significant milestone in the development of our blue hydrogen and ammonia business, building on the UAE’s strong position as a producer of competitive, low carbon natural gas and our leadership role in carbon capture and underground storage.
“As we collectively navigate the global energy transition, we believe hydrogen, and its carrier fuels such as ammonia, offer promise and potential as zero carbon energy sources.”
The final investment decision for the project is expected in 2022, and start-up is targeted for 2025.
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