U.S. backs first Western Sahara green ammonia study with $5.7M grant

The U.S. Trade and Development Agency has awarded a $5.7 million grant to developer ORNX for early engineering work on a Western Sahara green ammonia project, marking the first US government financing for a private-sector venture in the disputed Moroccan-controlled territory.

The grant funds a pre-front-end engineering and design study for the first phase of a facility at Laayoune, according to statements from USTDA and ORNX. The plant is designed to produce roughly 560,000 metric tons of ammonia annually using hydrogen generated from renewable electricity. Total project investment is put at about $4.5 billion.

ORNX groups US-based Ortus Climate Mitigation with the Spanish-German joint venture Acciona-Nordex Green Hydrogen. The consortium was among five selected in 2025 under Morocco’s state-led green hydrogen program, and signed a land reservation agreement in February 2026. As designed, the integrated platform combines more than 2 GW of wind and photovoltaic generation, battery storage, roughly 900 MW of electrolyzers and seawater desalination.

Chief executive Peter Gish called the grant a milestone in advancing the project, saying ORNX would work with USTDA, the US embassy in Rabat and industrial partners to complete development and secure construction financing. The consortium is also weighing projects at Boujdour and Dakhla. The award lands as other export-oriented schemes advance, including a $4.7 billion green ammonia plant under review in Chile.

Source: Middle East Online