Mitsui & Co, in collaboration with partners including ADNOC's TA'ZIZ, Fertiglobe, and South Korea's GS Energy, has commenced the construction of an ammonia plant in Al Ruwais, UAE. This initiative is part of Mitsui's strategy to bolster global supply chains for cleaner fuels like hydrogen and ammonia, contributing to efforts aimed at mitigating climate change.

The plant, scheduled to begin operations in 2027, aims to produce 1 million metric tons of ammonia annually. Mitsui highlighted that the ammonia produced will feature lower carbon dioxide (CO2) emissions compared to conventional methods, although specific details were not provided in their statement.

Key to the project's environmental strategy is the installation of facilities to capture and store CO2 emitted during the manufacturing process. Mitsui plans to transition to producing clean ammonia by 2030, underscoring its commitment to sustainability in the production of this essential chemical.

The project's financing includes support from the Japan Bank for International Cooperation (JBIC), which has signed a loan agreement with Mitsui. The loan, co-financed with Sumitomo Mitsui Banking Corp, amounts to $27 million. This financial backing underscores the international cooperation involved in advancing sustainable energy projects.

Mitsui intends to utilize a portion of the clean ammonia produced at the UAE plant to supply markets in Japan and other Asian countries. The ammonia will serve various purposes, including as a fuel, chemical feedstock, and fertilizer component, further enhancing its role in green energy initiatives and industrial applications.

This project marks another milestone in Mitsui's long-standing collaboration with ADNOC in the UAE, building on their joint history in managing liquefied natural gas (LNG) facilities since the 1970s. Ammonia, crucially, offers a pathway to decarbonizing industries reliant on high-energy chemicals, aligning with global efforts to achieve sustainable development goals.