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Plug Power Signs 3 GW BEDP Contract with Allied Green Ammonia for Electrolyzer Project in Australia

Last Updated on 20th May 2024

Plug Power and Allied Green Ammonia (AGA), an Australian company dedicated to green ammonia production, have joined forces in a significant partnership. This collaboration involves a Basic Engineering and Design Package (BEDP) for a 3 GW electrolyzer plant. The plant will supply hydrogen to AGA’s proposed ammonia facility in Australia.

 

Plug's Electrolyser Facility

 

Plug’s BEDP offering plays a crucial role in supporting AGA's project. It aids in the Front-End Engineering Design (FEED) process and integrates Plug’s electrolyzers into the plant's basic design. This integration allows project owners to make the final investment decision (FID), a key milestone in the project's development. AGA’s hydrogen-to-ammonia facility, with a capacity of 2,700 metric tons per day (TPD) of green ammonia, is set to reach FID in Q4 2025.

 

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The BEDP contract announcement follows the recently announced memorandum of understanding for the supply of Plug’s Proton Exchange Membrane (PEM) electrolyzers, with delivery slated to begin in Q1 2027.

 

“Moving this major green hydrogen-to-ammonia project to the BEDP phase is a sign of its maturity in the development process,” noted Plug CEO Andy Marsh. “We now have 7.5 GW of BEDP contracts globally to support our growth targets.” By replacing steam methane reforming (SMR) techniques, Plug's green hydrogen can aid in decarbonizing ammonia production.

 

Plug's pressurized (40 bar) electrolyzer is good for the environment and reduces the need for compression further down the line. The oxygen extracted from electrolysis-based hydrogen can also improve the efficiency of industrial power plants and furnaces because it can burn at high temperatures. The Plug modular units are completely factory-assembled and are simple to transport by sea and road to remote locations.

 

AGA’s production facility will operate a 2,700 metric tons per day (TPD) green ammonia process. The proposed Gove Peninsula location strategically aligns with Australia’s trading partnerships with Asia by tapping into abundant renewable energy projects in Australia.

 

Plug is the leading manufacturer of PEM electrolyzers and currently operates the largest PEM electrolyzer deployment in the United States at its 15 TPD Woodbine, Ga., hydrogen plant. This announcement follows Plug’s recently announced BEDP contracts totaling 4.5 GW, bringing Plug’s total BEDP contracts to 7.5 GW. Plug also executes green hydrogen projects in the USA and across the world.
 


Difference Between BEDP and FEED

Basic Engineering and Design Package (BEDP) and FEED (Front-End Engineering Design) are very similar terms and are often used interchangeably in the engineering industry, especially for smaller projects. However, there can be some subtle differences between the two:

 

Front-End Engineering Design

FEED is generally considered slightly more comprehensive than a BEDP. It includes process engineering documents like process flow diagrams (PFDs), material and heat balances, equipment sizing, utility requirements, and preliminary plot plans. A FEED package might also delve into Piping and Instrumentation Diagrams (P&IDs), key instrument data sheets, and even Material Requisitions (MRs) for long-lead equipment.

 

Basic Engineering and Design Package

A BEDP typically focuses more on the process engineering aspects of a project. This includes developing process flow diagrams (PFDs), heat and material balances, equipment sizing, utility consumption estimates, and preliminary plot plans.

 


Read: Plug Power Secures $1.66 Billion Loan to Develop Green Hydrogen Projects in US


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