On September 16, 2024, DOE announced a conditional commitment to providing Wabash Valley Resources with a $1.559 billion loan guarantee to repurpose an industrial gasifier. The project will convert fossil fuel infrastructure into a facility to produce low-carbon ammonia to be used as fertilizer by regional farmers. DOE reports that the project has “the potential to be the world’s first, carbon-negative ammonia production facility . . . contributing to both food security and climate goals.” Before the loan guarantee is to be finalized, Wabash Valley Resources must meet certain technical, legal, environmental, and financial conditions.
This type of loan guarantee is offered through the Energy Infrastructure Reinvestment program, which was first authorized by IRA section 50144. The section appropriated funds to finance energy infrastructure repurposing and remediation projects.