ABU DHABI - TA'ZIZ, a chemicals and transition fuels ecosystem under development in Al Ruwais Industrial City, Abu Dhabi, announced today at the "Make it in the Emirates Forum", the award of a construction contract for its 1 million tons per annum (mtpa) low-carbon ammonia production facility.

Fertiglobe, a partner of TA'ZIZ, Mitsui & Co., Ltd. and GS Energy Corporation, awarded the construction contract to Tecnimont S.p.A (MAIRE Group).

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

A significant portion of the construction award value is expected to flow back into the UAE's economy under ADNOC's In-Country Value (ICV) programme.

A preliminary life cycle assessment study estimates that Phase 1 of the plant will produce 50% lower-carbon intensity ammonia compared to conventional ammonia. In the second stage, the plant will further reduce its carbon intensity via capturing and sequestrating carbon dioxide emissions.

Mashal Saoud Al-Kindi, CEO of TA'ZIZ, said, "As a key transition fuel, ammonia is used in a range of energy applications and represents an unparalleled opportunity to bridge the gap between traditional energy sources and a low-carbon future."

He added, "This ammonia production facility, which is set to produce enough low-carbon ammonia to power hundreds of thousands of homes annually, is core to the mission of TA'ZIZ to boost local industry supply chains, enhance ICV and catalyse manufacturing capabilities in the UAE – all with a focus on sustainability."

The first phase of TA'ZIZ prioritises the domestic production of six chemicals: ammonia, methanol, ethylene dichloride, polyvinyl chloride, vinyl chloride monomer and caustic, setting the foundation for manufacturing hundreds of new end-products in the UAE for the first time, unlocking further diversification and industrialisation opportunities in the country.

This phase is projected to create a multi-billion dollar investment in the country's GDP and generate thousands of jobs in the next 20 years.

With a mandate to position the UAE as a global chemical leader, TA'ZIZ has initiated the design process for a future, multi-billion dollar expansion that will more than double its Phase 1 production capacity and increase its focus on decarbonisation through clean power and carbon capture.