First Ammonia awarded a FEED contract to Worley for its electric ammonia facility in Victoria, Texas, along the Gulf Coast, First Ammonia announced Jan. 27.

The facility will be the first commercial-scale ammonia plant to use solid-oxide electrolyzers. The plant’s process to produce hydrogen from water will be 30% more energy efficient than using conventional electrolyzers. It is expected to have an initial production capacity of 300 metric tons per day.

The final FEED study is expected to be completed in the first quarter of 2025, with the full project expected to break ground later in the year.

“We are excited to be partnering with Worley, whose strong relationship with Topsoe, our project partner and the technology licensor, and proven abilities to deliver on the U.S. Gulf Coast will help us decarbonize heavy industry, transport fuels and power generation,” First Ammonia CEO Joel Moser said in the press release.

Electric ammonia can be used to decarbonize power generation and storage and transportation as a renewable, carbon-free fuel, First Ammonia said.