TA'ZIZ, Partners Award Build Contract for Low-Carbon Ammonia Facility

ADNOC and ADQ’s joint venture TA'ZIZ has awarded a construction contract for its one million tons per annum low-carbon ammonia production facility.

The contract was awarded to Technimont SPA by TA’ZIZ partner Fertiglobe, Mitsui & Co. Ltd. and GS Energy Corp., ADNOC said in a press release.

The facility aims to solidify Abu Dhabi's leadership in clean fuels and capitalize on the rising demand for low-carbon ammonia, a carrier fuel for hydrogen, ADNOC said. Construction is slated to begin in the third quarter of 2024, with operations expected to start 2027, according to ADNOC.

A significant portion of the contract value is expected to benefit the UAE economy through ADNOC's In-Country Value (ICV) program, ADNOC said.

Initial studies suggest the plant will produce ammonia with 50 percent lower carbon intensity compared to traditional methods. A future phase will further reduce emissions by capturing and storing carbon dioxide, ADNOC 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,” said TA'ZIZ CEO Mashal Saoud Al-Kindi.

The project's first phase prioritizes domestic production of six key chemicals, laying the groundwork for hundreds of new UAE-made products. This phase is expected to generate billions of dollars in GDP investment and create thousands of jobs over the next two decades, ADNOC said.

TA'ZIZ, aiming to position the UAE as a global chemicals leader, has begun designing a multi-billion dollar expansion to more than double production capacity and advance decarbonization through clean energy and carbon capture, said ADNOC.

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