Ammonia, a chemical critical to global food production, may soon be produced more cheaply and with a smaller environmental footprint if a new technology developed by startup Ammobia delivers on its promise. The company says it has refined the century old Haber Bosch process used to make ammonia, cutting production costs by as much as 40 percent while reducing energy demands, a development that could reshape an industry responsible for feeding billions.
To scale up the technology, Ammobia has raised 7.5 million dollars in seed funding from major industrial and energy investors including Air Liquide’s venture arm, Chevron Technology Ventures and Shell Ventures. The funding will support the construction of a pilot plant designed to demonstrate the technology at a larger, commercially relevant scale, following a year of successful operation of a smaller unit.
Beyond fertiliser, the company believes its process could unlock new uses for ammonia, particularly as countries search for alternatives to hydrogen in the race to decarbonise heavy industry and transport. Ammonia is increasingly attractive because it is easier and cheaper to store and transport than hydrogen, a factor that has already led countries like Japan and South Korea to build long term energy strategies around it.
The challenge, however, has been pollution. Traditional ammonia production accounts for nearly two percent of global greenhouse gas emissions due to its reliance on high temperatures, extreme pressure and fossil fuels. Ammobia says its process runs at significantly lower temperature and pressure, reducing emissions and allowing manufacturers to use cheaper equipment while remaining compatible with both fossil fuel based and renewable energy sources.
The company’s modular approach also marks a departure from the massive scale of conventional ammonia plants. Instead of facilities producing thousands of tonnes per day, Ammobia plans smaller units that can be deployed more flexibly and expanded as needed. With its new funding, the startup aims to prove that this model can work at pilot scale, positioning ammonia not just as a fertiliser of the past, but as a cleaner energy carrier for the future.
