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Ta’ziz Awards Contract for Low-Carbon Ammonia Plant in Abu Dhabi Chemicals Hub

Abu Dhabi’s chemicals hub Ta’ziz has awarded a construction contract for its 1 million tons per annum (mtpa) low-carbon ammonia production facility.

The contract has been awarded to Tecnimont by the ADNOC joint venture Fertiglobe, in partnership with Mitsui & Co., Ltd., and GS Energy Corporation. Ta’ziz, currently under development at the Al Ruwais Industrial City, aims to position Abu Dhabi as a leader in low-carbon fuels, leveraging the increasing demand for low-carbon ammonia as a carrier fuel for clean hydrogen, according to a statement.

Construction is set to commence in the third quarter of 2024, with the facility expected to begin operations in 2027.

Initial assessments indicate that Phase 1 of the plant will produce ammonia with 50% lower carbon intensity compared to conventional methods. In its second phase, the plant plans to further reduce carbon intensity through carbon capture and sequestration technologies.

Mashal Saoud Al-Kindi, CEO of Ta’ziz, stated, “This ammonia production facility will produce enough low-carbon ammonia to power hundreds of thousands of homes annually. It is central to Ta’ziz’s mission to enhance local industry supply chains, boost in-country value (ICV), and advance manufacturing capabilities in the UAE, all while maintaining a focus on sustainability.”

The first phase of Ta’ziz will prioritize the production of six chemicals: ammonia, methanol, ethylene dichloride, polyvinyl chloride, vinyl chloride monomer, and caustic soda. This phase is intended to lay the foundation for manufacturing hundreds of new end-products in the UAE for the first time.

The initiative is projected to generate multi-billion dollar investments in the country’s GDP and create thousands of jobs over the next 20 years.

Ta’ziz will encompass:

An Industrial Chemicals Zone, hosting world-scale chemicals production, including methanol, ammonia, and caustic soda.

A Light Industrial Area, which will support downstream production by providing local manufacturers and industrial service providers access to over 226,000 square meters of purpose-built warehousing, centralized utilities, and shared infrastructure.

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