Arnold & Porter Client First Ammonia Announces Entry into Agreement for First-of-Kind Renewable Energy Production
Arnold & Porter client First Ammonia LLC has announced its entry into an agreement with Danish technology pioneer Topsoe which will enable First Ammonia to kickstart the global market for “green” ammonia. Traditional methods for producing ammonia create significant carbon emissions; the “green” ammonia process which First Ammonia will employ using Topsoe technology will instead produce ammonia through electrolysis of water, using existing electric power capacity during off-peak hours. Ammonia has the highest volumetric energy density out of all hydrogen-based energy sources, which makes it cheap and easy to store and transport. It can replace hydrocarbon-based fuels for a wide range of uses including as a fuel for transportation, for power storage and generation and for fertilizer production. First Ammonia is developing a global network of modular, commercial-scale plants utilizing Topsoe’s technology which it expects will produce up to five million metric tons of green ammonia per year, to displace almost five billion cubic meters of natural gas and eliminate 13 million tons of carbon dioxide emissions per year.
First Ammonia’s first plants under development in Northern Germany and Southwestern United States are expected to be fully operational in 2025 and are expected to be the world’s first commercial-scale green ammonia production facilities.
Arnold & Porter has represented First Ammonia and its founder, Joel Moser, in connection with First Ammonia’s formation and organization, company governance, employment arrangements, and initial financing and fundraising arrangements. The Arnold & Porter team representing First Ammonia is led by senior counsel Mel Cherney and partner David Menchel of the Corporate and Finance Department, respectively. Other team members include partners Laurie Abramowitz (Tax), Uri Horowitz (Employment/Benefits), Stephen Culhane (Corporate- Funds Formation), and associates Kathryn Geoffroy (Employment/Benefits) and Ethan Zausner (Corporate).
A copy of the press release announcing First Ammonia’s agreement with Topsoe can be found here.