SLINGERLANDS—Plug Power Inc., a global leader in hydrogen solutions, has signed a binding framework agreement with Allied Green Ammonia (AGA), an Australian company specializing in green ammonia production.
The agreement sets the stage for a final supply contract for 3 gigawatts (GW) of electrolyzer capacity to be installed at AGA’s green hydrogen-to-ammonia plant in Australia.
The framework agreement follows the completion of a memorandum of understanding (MOU) and the basic engineering and design package (BEDP) between the two companies. The final sales and purchase agreement is expected to be completed in the coming months. The delivery of Plug Power’s electrolyzer system is projected for late 2026 or early 2027.
The AGA facility, located at Gove Peninsula in Australia’s Northern Territory, aims to produce approximately 2,700 metric tons per day of green ammonia, using renewable energy resources. The plant will serve AGA’s growing customer base in Asia and Europe, ensuring a stable supply of green ammonia while reducing the carbon footprint associated with conventional ammonia production methods. The collaboration will replace traditional Steam Methane Reforming (SMR) with green hydrogen produced using Plug Power’s advanced electrolyzers.
“Ammonia producers are recognizing the substantial advantages of cost and carbon reduction through electrolysis-based hydrogen,” said Andy Marsh, CEO of Plug Power. “We’re thrilled to formalize this framework agreement with Allied Green Ammonia, who is at the forefront of global hydrogen and ammonia production and facility design.”
Alfred Benedict, Chairman and Managing Director of Allied Green, emphasized the significance of the partnership, stating, “Our collaboration with Plug Power builds on years of work, allowing us to efficiently harness electrolysis-based hydrogen and reduce carbon emissions in the ammonia production process.”
The AGA project is supported by the Northern Territory Government, the Australian Government, and local indigenous groups. The project is expected to generate thousands of local jobs.