Iberdrola plans to establish Turkey’s first green ammonia factory, a project supported by European funds that will require an investment of 750 million euros. The company did not specify its country of residence, but the venture will be viable thanks to public backing from Europe and a long‑term framework designed to scale up green ammonia production.
The move is part of a broader framework agreement with an energy trader to expand the market for green ammonia. The agreement targets annual sales of up to 100,000 tons of green ammonia starting in 2026, underscoring Iberdrola’s commitment to growing its portfolio of hydrogen‑related products across regions.
Currently, Iberdrola is developing ammonia plants and green methanol in Europe, the United States, Australia, and other regions. This first facility is a cornerstone of a global growth strategy focused on green hydrogen and its derivatives, reinforcing the company’s role in accelerating low‑carbon energy systems worldwide.
The construction phase is projected to create about 3,500 jobs, largely filled by local workers. During ongoing operations and maintenance, the project is expected to support more than 50 additional positions.
The plant will be connected to a green ammonia production capacity of 500 megawatts, powered by new renewable energy sources. This capacity is designed to satisfy Europe’s evolving requirements for decarbonized energy and industrial inputs.
Beyond its contribution to energy supply, the project aims to spur industrial opportunities and innovation in a fast‑growing market with strong export potential, according to Iberdrola.
Trammo will trade the plant’s green ammonia to support decarbonization efforts in energy‑intensive industries across the continent, including markets in the Netherlands, Germany, and France.
European green hydrogen corridor
The initiative is oriented toward launching a European green hydrogen corridor. Southern Europe has substantial renewable potential that can fuel competitively priced green energy and help decarbonize high‑consumption industries that are hard to cut back in the near term for European partners.
Innovative collaborations, such as combining a major renewable energy developer with the world’s largest maritime trader of anhydrous ammonia, can accelerate the scale of green hydrogen projects. This perspective is echoed by Millan Garcia‑Tola, Global Director of Green Hydrogen at Iberdrola, who notes the company’s experience running Europe’s largest green hydrogen facility and its capability to scale up rapidly for larger ventures.
Reducing industrial emissions through green ammonia remains a key objective, with Iberdrola actively pursuing real projects to build a more sustainable production chain and meet decarbonization targets. The company is already exploring similar ventures with Trammo in other markets to broaden the impact of green ammonia deployments.
Green ammonia is valuable for decarbonizing existing processes such as fertilizer production and chemical manufacturing, and new applications are expected to drive significant market growth. Potential uses include marine fuels and enabling the movement of green hydrogen across regions, expanding its role in low‑carbon logistics and energy systems.
Water conservation benefits
One notable advantage of this approach is water savings. Green hydrogen production through ammonia processes helps reduce water usage by more than forty percent compared with conventional gray ammonia operations, a critical factor in areas facing water stress.
With a goal of doubling its renewable capacity, Iberdrola seeks to reach around 80 gigawatts by 2030, up from the current level. The company has already established a leadership position in green hydrogen development, with multiple facilities and electrolyzer capacity centered in Europe and other key markets.
In addition to its efforts in Iberia, Iberdrola is pursuing more than sixty hydrogen projects across eight countries, including initiatives in the Americas and Australia. Trammo remains a leading maritime trader in anhydrous ammonia, supporting decarbonization in heavy industry by facilitating the supply of green ammonia to markets worldwide with a view toward expanding volumes by 2035.