Mitsui & Co. begins construction of ammonia production facility in UAE

Japan’s Mitsui & Co. has commenced the construction of an ammonia production facility in the UAE, the company announced on June 25.

This project is a collaboration with TA'ZIZ, a unit of Abu Dhabi National Oil Company (ADNOC), Fertiglobe, and South Korea's GS Energy Corporation. Mitsui has also secured a loan agreement with Japan Bank for International Cooperation to finance the project.

Located in Al Ruwais, UAE, the facility is expected to produce 1mn tonnes/year of ammonia per year starting in 2027. This ammonia production will have lower CO2 emissions compared to conventional methods. To achieve these reductions, the plant will include additional facilities to capture and store CO2 emitted during the manufacturing process, with the goal of beginning clean ammonia production by 2030.

In addition to its development role, Mitsui will offtake a certain volume of the clean ammonia produced at the plant to supply Japan and other Asian markets. Mitsui has long been Japan's largest ammonia importer and has been collaborating with ADNOC on LNG projects in the UAE since the 1970s.