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Abu Dhabi Ventures Towards Low-Carbon Future with 1 Million Tonnes Per Annum Ammonia Facility Construction

In a significant announcement made at the Make it in the Emirates forum, TA’ZIZ, a burgeoning chemicals and transition fuels ecosystem situated in Al Ruwais Industrial City, Abu Dhabi, revealed the award of a pivotal construction contract. The contract, concerning the construction of a cutting-edge 1 million tons per annum (mtpa) low-carbon ammonia production facility, was bestowed upon Tecnimont S.p.A (MAIRE Group) by Fertiglobe, a TA’ZIZ partner, alongside Mitsui & Co., Ltd. and GS Energy Corporation.

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This facility’s establishment is poised to fortify Abu Dhabi’s stature as a frontrunner in the realm of low-carbon fuels, aiming to cater to the escalating demand for low-carbon ammonia as a carrier fuel for clean hydrogen. Construction endeavors are slated to commence in the third quarter of 2024, with operational activities slated for initiation in 2027. Notably, a substantial portion of the construction contract’s value is anticipated to circulate back into the UAE’s economy, adhering to ADNOC’s In-Country Value (ICV) program.

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A preliminary life cycle assessment study indicates that the plant’s Phase 1 operations are expected to yield ammonia with 50% lower-carbon intensity compared to conventional counterparts. Furthermore, subsequent stages will witness a concerted effort to curtail carbon intensity through the capture and sequestration of carbon dioxide emissions.

Mashal Saoud Al-Kindi, CEO of TA’ZIZ, expressed enthusiasm about the pivotal role ammonia plays as a transition fuel, delineating its utility across diverse energy applications. Al-Kindi underscored the facility’s significance in fulfilling TA’ZIZ’s overarching mission to bolster local industry supply chains, augment In-Country Value (ICV), and propel manufacturing capabilities within the UAE, all while upholding sustainability principles.

TA’ZIZ’s initial phase is geared towards domestic production across six chemicals, laying the groundwork for manufacturing a myriad of new end-products within the UAE for the first time. This phase is anticipated to yield a substantial investment in the country’s GDP, envisaging the creation of numerous job opportunities over the next two decades.

With a resolute mandate to position the UAE as a global chemicals leader, TA’ZIZ is embarking on a future expansion endeavor that is projected to amplify Phase 1 production capacity twofold and intensify its focus on decarbonization through clean power and carbon capture technologies.