Tecnimont Secures Construction Contract for Low-Carbon Ammonia Plant in UAE

Decarbonization Tecnimont Secures Construction Contract for Low-Carbon Ammonia Plant in UAE

2024-06-26 Source: Press release Adnoc 2 min Reading Time

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Tecnimont has bagged a construction contract for Ta’ziz’s 1 million tons per annum low-carbon ammonia production facility in Al Ruwais Industrial City, Abu Dhabi, UAE. Construction for the project is expected to begin in the third quarter of 2024, with operations scheduled to commence in 2027.

Fertiglobe, a partner of Ta’ziz, Mitsui & Co. and GS Energy Corporation, awarded the construction contract to Tecnimont (Maire Group).(Source: Adnoc) — Fertiglobe, a partner of Ta’ziz, Mitsui & Co. and GS Energy Corporation, awarded the construction contract to Tecnimont (Maire Group).
(Source: Adnoc)

Abu Dhabi/UAE – Ta’ziz, a chemicals and transition fuels ecosystem under development in Al Ruwais Industrial City, Abu Dhabi, recently announced the award of a construction contract for its 1 million tons per annum (mtpa) low-carbon ammonia production facility. Fertiglobe, a partner of Ta’ziz, Mitsui & Co. and GS Energy Corporation, awarded the construction contract to Tecnimont (Maire Group).

The facility is set to reinforce Abu Dhabi’s position as a leader in low-carbon fuels and capitalize on the growing demand for low-carbon ammonia as a carrier fuel for clean hydrogen. Construction is set to begin in the third quarter of 2024, with operations scheduled to commence in 2027. A significant portion of the construction award value is expected to flow back into the UAE’s economy under Adnoc’s In-Country Value (ICV) program.

A preliminary life cycle assessment study estimates that Phase 1 of the plant will produce 50 % lower-carbon intensity ammonia compared to conventional ammonia. In the second stage, the plant will further reduce its carbon intensity via capturing and sequestrating carbon dioxide emissions.

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Mashal Saoud Al-Kindi, CEO of Ta’ziz, said: “As a key transition fuel, ammonia is used in a range of energy applications and represents an unparalleled opportunity to bridge the gap between traditional energy sources and a low-carbon future. This ammonia production facility, which is set to produce enough low-carbon ammonia to power hundreds of thousands of homes annually, is core to the mission of Ta’ziz to boost local industry supply chains, enhance ICV and catalyze manufacturing capabilities in the UAE – all with a focus on sustainability.”

The first phase of Ta’ziz prioritizes the domestic production of six chemicals: ammonia, methanol, ethylene dichloride, polyvinyl chloride, vinyl chloride monomer and caustic, setting the foundation for manufacturing hundreds of new end-products in the UAE for the first time, unlocking further diversification and industrialization opportunities in the country. This phase is projected to create a multi-billion-dollar investment in the country’s GDP and generate thousands of jobs in the next 20 years.

With a mandate to position the UAE as a global chemicals leader, Ta’ziz has initiated the design process for a future, multi-billion dollar expansion that will more than double its Phase 1 production capacity and increase its focus on decarbonization through clean power and carbon capture.

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