IHI wins pre-FEED contract for ammonia production in New Zealand

July 20, 2023, by Aida Čučuk

Japan’s IHI Corporation has been awarded a contract to undertake pre-FEED Woodside Energy Technologies to assess the feasibility of manufacturing and exporting ammonia in Greenpoint and Tiwai Point in New Zealand’s Southland.

Illustration only; Archive; Courtesy of NYK

The proposed project is targeting to produce 500,000 tons per year of ammonia utilizing electrolysis from renewable power.

The prime renewable energy source of this ammonia is expected to be the region’s abundant hydropower, IHI said, adding that ammonia produced using a renewable energy source could result in lower carbon dioxide emissions in the supply chain.

Additionally, ammonia produced using renewable energy sources could offer broad decarbonization solutions to diverse customers as a fuel and raw material, IHI pointed out, noting that IHI and Woodside Energy will accordingly continue to investigate the potential to build an ammonia supply chain between Japan and Oceania, which IHI considers a suitable area for manufacturing and exporting ammonia produced from renewable energy sources.

To note, the Japanese government committed the nation to carbon neutrality by 2050, fueling public and private sector initiatives to develop ammonia and other low-carbon energy carrier chains.