The U.S. Department of Energy has finalized a $1.5 billion loan to Wabash Valley Resources, LLC, to support the development of a coal-powered ammonia fertilizer facility in West Terre Haute, Indiana. The project involves restarting and repurposing a coal gasification plant that has been inactive since 2016. Once operational, the facility is expected to produce 500,000 metric tons of anhydrous ammonia annually using coal sourced from a nearby Southern Indiana mine and petcoke as feedstock.
U.S. Secretary of Energy Chris Wright stated, “For too long, America has been dependent on foreign sources of fertilizer. Under President Trump’s leadership, we are changing that by putting America first, relying on American coal, American workers, and American innovation to power our farms and feed our families.”
Currently, much of the ammonia fertilizer used by farmers in the Corn Belt is imported from regions such as Canada, the Caribbean, the Middle East, and Russia. By bringing this facility back online in a traditional coal community, officials say it will help reduce reliance on foreign imports and provide a stable domestic supply for agricultural producers in the Eastern Corn Belt.
The Department of Energy expects that the project will enhance domestic supply chains and lower costs for both farmers and consumers while also contributing to national food security through cost-competitive production of ammonia fertilizer. The initiative is projected to create hundreds of jobs in the region.
According to DOE statements, this loan was evaluated under new guidance issued by Secretary Wright and is part of broader efforts under the Trump administration’s Energy Dominance Financing Program. This marks the second closed loan under this program following its creation by recent legislative measures.
“Today’s announcement highlights DOE’s commitment to achieving President Trump’s national security and energy dominance goals by securing domestic fertilizer supply for farmers in the Corn Belt and ensuring the American people’s access to reliable, abundant, and affordable energy,” said Secretary Wright.
