Fertiglobe Plans $1bn Blue Ammonia Investment
Funding | Jan 21, 2025 | Zawya
Fertiglobe, listed on the Abu Dhabi stock exchange, is planning a formidable investment of above $1 billion to produce blue ammonia, contingent upon securing purchase commitments from Asian markets, as reported by the media. With Bloomberg referencing CEO Ahmed El-Hoshy, it’s revealed that both Japan and South Korea are expected to provide subsidies for some imports of this commodity. Securing such contracts will permit Fertiglobe to make a final investment decision concerning a blue ammonia project based in the UAE.
Sectors
- Chemical Industry
- Renewable Energy
Geography
- United Arab Emirates – Fertiglobe's investment plans and ongoing projects are based in the UAE.
- Asia – The article highlights demand from Asian countries such as Japan and South Korea.
- Germany – Fertiglobe secured a green ammonia offtake agreement with a German company, Hintco.
Industry
- Chemical Industry – The production of blue ammonia falls under the chemical industry, which includes the manufacturing of chemicals and fertilizers.
- Renewable Energy – Fertiglobe's interest in blue and green ammonia, as well as their involvement in H2Global pilot auctions, align them with the renewable energy sector.
Financials
- $1 billion – The investment planned by Fertiglobe for the blue ammonia project.
- 3.67 billion UAE dirhams – Local currency equivalent of Fertiglobe's planned investment.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Fertiglobe | Target Company | Company | Fertiglobe is the world's largest seaborne exporter of urea and ammonia combined and the largest nitrogen fertilizer producer in the MENA region. |
| Ahmed El-Hoshy | CEO | Person | CEO of Fertiglobe, leading the company's strategy on blue ammonia investments. |
| Hintco | Buyer | Company | A German company involved in an offtake agreement with Fertiglobe for green ammonia. |
| Zawya | Source | Company | The news aggregator and source reporting on Fertiglobe's plans. |