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NH3 Clean Energy and Pilbara Ports sign a MoU on ammonia shipment for WAH2 project

NH3 Clean Energy Ltd. (formerly Hexagon Energy Materials Limited) has signed a Memorandum of Understanding (MoU) with the Pilbara Ports Authority exploring the options for the loading and exporting 600,000 tpy of clean ammonia from the company’s WAH2 project.

HIGHLIGHTS

  • The non-binding MoU outlines collaboration between NH3 and Pilbara Ports over the next 12 months intended to establish operational arrangements and binding agreements supporting clean ammonia export from the WAH2 project.
  • Phase 1 production of 600,000 tpy of clean ammonia would be shipped via the Port of Dampier Bulk Liquids Berth.
  • The MoU covers ship loading for both export and bunkering customers, aligning with NH3’s broader clean energy strategy.

EXECUTIVE SUMMARY

This MoU further advances the collaboration that has been taking place between NH3 and Pilbara Ports around the handling, loading and export of the clean ammonia produced from the WAH2 plant. Ammonia would be transported from the WAH2 Plant to the Port of Dampier by a new-build pipeline located in the existing infrastructure corridor.

The ammonia would be loaded onto ships at the existing Port of Dampier Bulk Liquids Berth, subject to availability and commercial agreements. These ships would either be gas carriers to transport the clean ammonia to overseas customers, or the ammonia bunkering vessel that is being proposed under NH3’s MoU with Oceania Marine Energy.

The bunkering vessel would supply clean ammonia as fuel to bulk carriers that are used to export iron ore from the Pilbara – helping to decarbonize Australia’s iron ore exports and establish Dampier as a clean fuel bunkering hub.

This MoU comes on top of recent announcements regarding the completion of pre-FEED engineering, gas supply and CO2 transport as the project continues to progress towards its target of FEED entry at the end of Q1 2025.

The completed technical work, preliminary commercial agreements and pre-FEED financial modelling are the basis for the next stage of strategic and customer discussions. These discussions will be supported by a WAH2 project data room in February.

The company is already engaged with more than a dozen potential offtake and strategic partners and anticipates continued news-flow and announcements as these progress.

NH3’s Chairman Charles Whitfield commented, “Pilbara Ports have demonstrated their support and enthusiasm for becoming a key hub for the handling of clean ammonia for the international market and marine fuel. As promised in the first gas supply announcement, the tempo of achieving milestones and development of the project will continue to increase as we drive for FID in H1 2026.”

WAH2

The WAH2 project is NH3’s flagship project to supply low-emissions ammonia to the decarbonizing powerhouse economies of the Asia Pacific, including Japan and South Korea as well as being a source of decarbonized ‘bunker’ fuel for powering bulk carriers carrying iron ore from Australia to Asia. The project is well placed as Asia’s energy transition drives an increasing demand for low emissions of energy.

The project is progressing towards its target of entering FEED at the end of Q1 2025.