• PlasmaLeap has developed a world-leading breakthrough method of creating green ammonia via ‘lightning in a bottle’ technology
  • The technology has huge potential to meet the rapidly increasing demand for both fertiliser and clean energy
  • After successful pilot studies PlasmaLeap has begun a Series A funding process to accelerate commercialisation of the groundbreaking tech

 

Special Report: ‘Fertiliser on demand’ is set to revolutionise agri-tech and clean fuel production, and Sydney-based company PlasmaLeap is at the forefront of innovation in this sector.

Most people know ammonia in its liquid form as an old-school home cleaning product with an eye-watering smell. But it’s now coming out from under the kitchen sink and into the spotlight due its key role in both fertilisers used to help feed the world’s ballooning population and the clean energy future.

The ammonia market currently is worth about $150 billion annually, with fertilisers comprising about 70% of that. By 2050 the market is forecast to mushroom by 160% to $391 billion, according to analysis by Wood Mackenzie.

While it may help to grow lots of crops, ammonia made for fertilisers is far from green, currently using about 2 per cent of the world’s fossil fuel energy according to the CSIRO. This means ‘green’ ammonia production would make significant inroads towards net zero targets.

Ammonia also has huge potential as a clean fuel in its own right and, as it’s made up of hydrogen and nitrogen, as a clean hydrogen energy carrier.

 

Lightning in a bottle

Aiming to meet the escalating demand for ammonia is a ground-breaking Australian company with world-leading clean ‘lightning in a bottle’ technology.

Sydney-based startup PlasmaLeap has developed a world-first process that produces ammonia with only renewable electricity, air and water.

It essentially mimics, in a controlled environment, what lightning does to fix nitrogen as it passes through air.

After successfully completing lab testing at the University of Sydney and pilot studies at a commercial vegetable farm, PlasmaLeap is now attracting interest from prospective customers.

Co-founder and Chief Commercial Officer Samantha Cullen said: “The appetite for our technology is immense, both locally and globally.

“In just a few weeks of running our Expression of Interest campaign earlier this year, we received potential revenue of $140m in offtake of our product.”

The company has also begun a Series A funding process to accelerate the commercialisation of its technology.

 

The PlasmaLeap step change

In the race to develop ‘green’ ammonia, energy efficiency is the critical factor in providing a commercially viable alternative to the traditional Haber-Bosch process.  PlasmaLeap’s approach can currently produce green nitrate (8.3 kWh/kg) or ammonia (20 kWh/kg) at the point of end consumption, such as farms.

The Haber-Bosch process was invented by German chemists Fritz Haber and Carl Bosch more than a century ago as a work-around to transporting shiploads of ammonia-rich bird droppings, or guano, from South America to European farms.

Instead of relying on the fossil fuel-driven inputs and the extreme temperatures and pressures of the Haber-Bosch method, PlasmaLeap’s reactors harness lightning-like electrical discharges at ambient pressures and temperatures fuelled by renewable energy.

“The Haber-Bosch process has reached its efficiency limit. It’s incredibly energy-efficient, but it achieves this by using cheap natural gas and releasing CO2 to get the hydrogen it requires. It only works on a large scale, necessitating long-distance transportation from centralised plants with access to cheap natural gas,” said Professor PJ Cullen, co-founder and Chief Scientist at PlasmaLeap Technologies.

With an operational model that does not require farmers to purchase the technology, farmers can have a guaranteed on-site supply of fertiliser at up to 10% less than traditional fertiliser prices via a product off-take arrangement with PlasmaLeap.

With Australia consuming around $4 billion of fertiliser annually, the company’s technology could save Australian farmers up to $400 million.

Meanwhile some of the biggest names in agri-tech have invested in PlasmaLeap. The fertiliser-on-demand startup raised a $2.9 million convertible note, backed by Twynam, Artesian, New Energy Technology, and The Melt.

 

Green treasure

Additionally, PlasmaLeap’s innovative green tech allows the company to generate bankable CO2 and Renewable Energy Certificates, enabling it to keep its costs lower.

CEO Frere Byrne says: “Ammonia synthesis has depended on fossil fuels for over a century. We’ve turned that model on its head, offering a renewable electricity-driven solution that will completely remove emissions, and accelerate ammonia’s potential as a clean sustainable fuel, energy carrier, and sustainable fertiliser.

“And without feasible, commercially viable solutions for green ammonia production, the world will never hit net zero.”

 

This article was developed in collaboration with PlasmaLeap, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.

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