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 financing will enable the company to restart and repurpose 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 per year using coal sourced from a nearby Southern Indiana mine and petroleum coke as feedstock.
U.S. Secretary of Energy Chris Wright said, “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.”
The project aims to strengthen domestic supply chains for fertilizer in the Eastern Corn Belt region, which currently relies on imports from Canada, the Caribbean, the Middle East, and Russia. By increasing local production capacity, officials expect it will help lower costs for farmers and consumers while enhancing national food security.
According to the Department of Energy (DOE), bringing the plant back online will also create hundreds of jobs in the area. The loan was approved under new guidance from DOE’s Loan Programs Office (LPO) led by Secretary Wright and is part of the Energy Dominance Financing Program established by recent federal legislation.
The announcement underscores DOE’s focus on supporting domestic energy infrastructure projects that align with administration priorities around national security and economic independence.
“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,” Secretary Wright stated.
