In a groundbreaking development for the agricultural sector, Canadian technology company FuelPositive (FP) is on the verge of commercializing a revolutionary system that enables farmers to produce their own ammonia fertilizer. This innovative solution addresses one of the most significant challenges faced by farmers today: the high cost and availability of nitrogen fertilizer, which is the largest crop input expense.
The system, developed by the Manitoba-based company, is a containerized, scalable unit that produces green anhydrous ammonia (NH3) fertilizer using only air and water, powered by electricity generated on the farm or sourced from local sustainable utilities. This not only reduces the financial burden on farmers but also mitigates the risks associated with fertilizer availability. The system is designed to be self-monitoring and remotely monitored, ensuring efficient and reliable operation.
The implications of this technology are vast. Farmers can significantly reduce their dependence on commercial nitrogen fertilizers, which are often subject to price volatility and supply chain disruptions. Moreover, the ammonia produced can serve multiple purposes beyond fertilization. It can be used to power internal combustion engines on the farm or for grain drying systems, replacing traditional fuels like propane.
The FP system comprises four key components: a nitrogen generator to extract nitrogen from air, a water electrolyzer to produce hydrogen from water, a patent-pending ammonia synthesis converter which produces green ammonia from nitrogen and hydrogen, and ammonia storage. The estimated base price for a 500-tonne-per-year system is approximately CAD $5 million (€3.39 million). However, the return on investment (ROI) will depend on various factors, including the cost of electricity and the commodity price of purchased ammonia that the FP ammonia displaces. Additionally, the decision to purchase a system individually or as a group of farmers, as well as access to water, will play crucial roles in the ROI calculations.
The demonstration unit, located on a Manitoba farm owned by the Hieberts family, is currently being powered by electricity from Manitoba’s carbon-free grid, supplemented by the family’s 200-kw solar array. The project has been funded through a combination of investor capital, including contributions from farmers, and CAD$1.9 million (€1.29 million) in federal and provincial funding. The system has undergone rigorous testing, with ongoing gas composition and purity tests to ensure optimal performance. Independent validation has been completed for FP’s patent-pending ammonia synthesis converters, the nitrogen production system, and the entire system. The company is now in the final phase of pressure vessel certification and third-party engineering certifications.
FuelPositive is actively raising capital as a public company on the Toronto Venture Exchange and is applying for provincial funding to cover the remaining activation costs and facilitate the transition to commercialization. The company aims to launch the system on the market in early spring 2025. With dozens of farmers already standing by to see the first demonstration system fully operational, the anticipation for this technology is palpable.
The base unit has a capacity of 300 kg/day (or 100 tonnes/year) of anhydrous ammonia, sufficient for about 2,000 acres per year. It requires 476 liters of water per day and, if opting for an off-grid solar/wind option, an 800kw array with energy storage. The system is designed to last several decades, with periodic upgrades ensuring its longevity and efficiency.
This technology represents a significant leap forward in sustainable agriculture, offering farmers a cost-effective and environmentally friendly solution to one of their most pressing challenges. As FuelPositive prepares to enter the commercialization phase, the agricultural community eagerly awaits the transformative impact this innovation will have on farming practices and the broader agricultural industry.