NH3 Clean Energy Limited (ASX: NH3), formerly known as Hexagon Energy Materials Limited, has signed a Memorandum of Understanding (MoU) with Pilbara Ports Authority to explore the loading and export of 600,000 tonnes per annum (TPA) of clean ammonia from its WAH2 Project, according to the company's release.
The non-binding agreement outlines a 12-month collaboration to establish operational arrangements and binding agreements for clean ammonia export via the Port of Dampier Bulk Liquids Berth.
The WAH2 Project, NH3 Clean Energy’s flagship initiative, aims to supply low-emission ammonia to decarbonizing economies in the Asia-Pacific region, including Japan and South Korea. The project also seeks to provide clean ammonia as a bunkering fuel for bulk carriers exporting iron ore from Australia to Asia, thereby supporting the decarbonization of Australia’s iron ore exports.
Under the MoU, ammonia produced at the WAH2 plant will be transported to the Port of Dampier via a new pipeline located in an existing infrastructure corridor. The ammonia will be loaded onto ships at the Port of Dampier Bulk Liquids Berth, either for export to international markets or for use as marine fuel. The latter aligns with NH3’s broader strategy to establish Dampier as a clean fuel bunkering hub.
The WAH2 Project is progressing towards its target of entering the Front-End Engineering and Design (FEED) phase by the end of Q1 2025. The project has already completed Pre-FEED engineering studies and secured preliminary commercial agreements for gas supply and CO2 transportation.
NH3 Clean Energy is currently engaged with over a dozen potential offtake and strategic partners, with further announcements expected as discussions progress. The MoU with Pilbara Ports follows recent agreements, including an MoU with Oceania Marine Energy for ammonia bunkering and a gas supply indication with Chevron Australia.