Perth investment advisory firm Affinity Capital Group has been appointed strategic advisor and lead manager for a $US6.5 billion (around $10 billion) capital raising for a green ammonia project planned for the Northern Territory.
Perth company Allied Green Ammonia (AGA) plans to develop one of the world’s largest green ammonia projects at Nhulunbuy on the Gove Peninsula, in north-east Arnhem Land with the support of the local Aboriginal community. The plant, to be powered by solar generated electricity, is planned to produce one megatonne of fuel in a year while abating around 60 megatonnes of carbon emissions.
While Nhulunbuy is remote from Australia’s major population centres, it is relatively well positioned to export fuel to South-East Asia.
AGA founder and managing director Alfred Benedict said members of his team had experience delivering and operating over $US15 billion worth of large-scale projects around the world, including multiple ammonia projects.
Project feasibility tests for the Nhulunbuy project had been successfully completed.
AGA was currently in negotiations for pre-approval for around 70% of the engineering procurement and construction contract value from the Spanish government Export Credit Agency (CESCE).
The company had already signed an offtake memorandum of understanding with France-based ammonia trading company Trammo which is anticipating first fuel deliveries in late 2028.
Benedict said Affinity had been instrumental in helping AGA develop its capital plans and had already secured commitments for financing the first stage of the project. Affinity was now leading discussions with global infrastructure funds, government financing agencies, export credit agencies and other potential strategic partners.
Managing director and founder of Affinity, Adam Santa Maria, said the project demonstrated that the large-scale green hydrogen generation capacity required to displace millions of tonnes of carbon emissions and achieve net zero transition was now technically feasible and cost competitive.
Image: The Gove Peninsula, the planned location for the Allied Green Ammonia development.