Fortescue, Kenya Partner on Green NH3 Project

Perth, Australia-based Fortescue Future Industries (FFI) and the Government of Kenya on Nov. 8 signed a binding Framework Agreement on the sidelines of COP27 in Sharm El Sheikh, Egypt, under which they will work together to develop by 2025 a 300MW capacity generation green ammonia and green fertilizer complex, FFI said in a media statement, announcing the agreement signing.

The development aims to provide affordable green fertilizer to the Kenyan domestic market and address food security, while also negating the need for importing equivalent amounts of fertilizer.

The green ammonia and green fertilizer facility will be located in the Olkaria geothermal field, to the south of Lake Naivasha in Kenya’s Great Rift Valley. The proposed project will now move into the pre-feasibility study phase. FFI said it expects to make a Final Investment Decision on the project in 2023.

FFI and the Kenyan government intend the green ammonia and fertilizer production plant to be followed by the start of feasibility studies for two further projects that could scale up renewable electricity generation for green industries by up to 25GW, which ultimately could produce up to 1.7 million mt/y of green hydrogen for export.

Kenya President William Ruto and Fortescue Executive Chairman Andrew Forrest first discussed the agreement during their meeting at the UN General Assembly in New York in September 2022, said FFI.

“By stepping away from fossil fuels to use green ammonia, Kenya can eliminate its reliance on imports, reduce the cost of fertilizer, and increase its food and economic security,” said Forrest.

Kenya’s main fertilizer imports in volumes terms comprise DAP, urea, and ammonium sulfate. The country also imports small quantities of MAP, CAN, MOP, and SOP, according to Trade Data Monitor .

Kenya Selected Fertilizer Imports

Mt 2020 2021 Jan-Aug 2021 Jan-Aug 2022
DAP 315,174 261,272 163,174 87,204
         
Saudi Arabia 205,037 195,474 131,400 53,400
Morocco 45,632 34,024 0 33,372
Russia 56,369 29,000 29,000 0
         
Urea 146,457 111,701 97,446 49,272
Of which imported from:        
Qatar 90,360 43,544 43,544 32,671
Saudi Arabia 46,850 31,167 27,016 10,836
         
AS 23,516 15,917    
         
China 18,187 11,129