Renewable-to-ammonia: Configuration strategy and technoeconomic analysis

Area of Science:

• Chemical Engineering
• Renewable Energy Systems
• Technoeconomics

Background:

• The ammonia (NH3) industry faces increasing demand for chemical raw materials.
• Limited research exists on the economic feasibility of renewable-to-ammonia (RE2A) production.
• Coal-to-ammonia (C2A) is a traditional but carbon-intensive method.

Purpose of the Study:

• To develop a technoeconomic model for assessing renewable-to-ammonia (RE2A) production.
• To determine optimal capacity configurations for RE2A plants.
• To quantify the levelized cost of ammonia (LCOA) for RE2A and compare it to C2A.

Main Methods:

• Established a technoeconomic model for RE2A, retrofitted from a coal-to-ammonia (C2A) plant.
• Developed a cost model for C2A as a benchmark for economic comparison.
• Conducted a case study in Inner Mongolia to validate the model and assess output.

Main Results:

• The RE2A model achieved a monthly NH3 output of 7-11×10^3 tons, meeting industrial demands.
• The levelized cost of ammonia (LCOA) for RE2A was calculated at $469/t.
• Investment in wind turbines constituted 58% of the RE2A costs, which is lower than the current NH3 market price ($605-$650/t).

Conclusions:

• RE2A demonstrates significant economic advantages over C2A, evidenced by its lower LCOA.
• A carbon tax of $47.1/t CO2 would make RE2A's LCOA competitive with C2A.
• RE2A presents a viable and economically advantageous pathway for future ammonia production, especially considering environmental regulations.