Plug Power Inc., a leading global provider of comprehensive hydrogen solutions for the green hydrogen economy, has announced the signing of a memorandum of understanding with Allied Green Ammonia, an Australian company focused on green ammonia production. The MOU entails supplying up to 3 gigawatts of plug electrolyzer capacity for AGA’s proposed hydrogen to ammonia facility in the Northern Territory of Australia.
Following the MOU, Plug and AGA are planning to enter into an agreement, as outlined in the MOU, to commence a Basic Engineering and Design Package for the 3GW capacity project. The BEDP is anticipated to commence in mid-May of this year, with the final investment decision scheduled for Q4 2025. The progressive delivery of the 3GW electrolyzer supply is slated to begin in Q1 2027.
Andy Marsh, CEO of Plug, stated, “Ammonia producers have recognised the substantial advantages of cost and carbon reduction through electrolysis-based hydrogen. We’re thrilled to sign this MOU and partner with AGA. Our expertise in constructing and operating large-scale hydrogen production facilities, coupled with our PEM electrolyzer manufacturing capability to support their 3GW project, positions us as the ideal partner for this endeavour.”
Alfred Benedict, founder & managing director of AGA, commented, “Our MOU with Plug builds on a long list of leading global firms who are joining us on our journey to build one of the largest green ammonia production facilities in the world, strategically located in Australia given its proximity to Asia. This agreement, bolstered by Plug’s unrivalled expertise and complementary technologies, signifies a strong vote of confidence in our capabilities and a significant milestone in the planned delivery of Allied Green’s facility.”
Green hydrogen produced by Plug’s electrolyzers can assist in decarbonising the ammonia production process by replacing steam methane reforming techniques. Additionally, Plug’s pressurised (40 bar) electrolyzer reduces downstream compression requirements, and the extracted oxygen can enhance efficiency in industrial power plants and furnaces due to its high-temperature combustion capability.
AGA’s production facility will operate a 2500 metric-tonne-per-day green ammonia process, leveraging abundant renewable energy resources and strong energy infrastructure. The proposed location, Gove Peninsula, strategically aligns with Asia’s trading partnerships, meeting AGA’s intended customers’ growing needs for a reliable and secure supply of green ammonia.
Plug, as the leading manufacturer of PEM electrolyzers, operates the largest PEM electrolyzer deployment in the United States at its 15 TPD Georgia Hydrogen plant. This announcement follows Plug’s recent BEDP contracts totaling 4.5 GW across the United States and Europe.
Plug’s electrolyzers utilise electricity to produce hydrogen from water molecules through electrolysis, with oxygen being the only byproduct. This stands in contrast to traditional steam-methane reformation, which emits significant greenhouse gases.
For more information visit www.plugpower.com
