Name of the Project
Hiryo coal-to-fertiliser and methanol project.

Location
Kriel, in Mpumalanga, South Africa.

Project Owner/s
South African company specialising in blue ammonia production SUISO.

Project Description
The facility aims to produce 1.5-million tons of nitrogen-based fertilisers a year, which will significantly reduce reliance on imported fertilisers. Output will include urea, ammonia nitrate and controlled-release variants.

At full capacity, the plant will produce 210 000 m³/y of synthesis gas, which will be used to produce its key products, including 737 000 t/y of blue ammonia, 837 000 t/y of urea, 518 254 t/y of ammonia nitrate fertiliser and 234 000 t/y of zero-sulphur blue methanol, which will be compliant with South Africa’s upcoming 2027 Fuel Act.

Additionally, SUISO’s fertiliser production will replace 1.2-million tons of imported urea fertiliser each year.

The project will use advanced carbon capture and utilisation systems to significantly reduce emissions. Captured carbon will be repurposed for gypsum and ammonium carbonate production, consequently converting waste into valuable resources for agriculture and construction. As part of its goal for carbon-neutrality, it will enter into a 15-year power purchase agreement with a sustainable energy provider to substantially lower the Hiryo plant’s reliance on fossil fuel power for its operations.

It will also implement wet flue gas desulphurisation and advanced water recycling systems to meet international emission standards. These technologies will reduce nitrogen and sulphur dioxide emissions, addressing long-standing air-quality concerns in Mpumalanga. 

Potential Job Creation
About 4 000 jobs will be created during construction, transitioning to 981 permanent positions once fully operational. To build a skilled workforce, the on-site Gerhard Potgieter Engineering Training College will upskill 400 employees, fostering sustainable development and economic resilience in Mpumalanga.

Capital Expenditure
$1.7-billion.

Planned Start/End Date
Construction is expected to start in 2026, with the plant to be commissioned in 2030.

Latest Developments
Chinese engineering companies East China Engineering Science and Technology, and Sinopec Ningbo have progressed to the final round of bidding for a basic engineering contract to build the project. Both companies have extensive experience in the construction of the facilities that the Hiryo complex will require.

The final decision is expected to be made this month by multilateral financial institution the African Export-Import Bank (Afreximbank), which has been appointed by SUISO as the project’s sole lead arranger, financial adviser and debt syndicator.

Afreximbank is providing $1.2-billion of debt funding for the project.

SUISO completed its bankable feasibility study in February and is progressing into detailed basic engineering, which takes 12 months. 

Key Contracts, Suppliers and Consultants
Sinopec Ningbo Engineering and Stamicarbon (engineering partners).

Contact Details for Project Information
SUISO, email info@suiso.co.za.