Energy Department approves $1.5 billion loan for Indiana fertilizer plant

Chris Wright, U.S. Secretary of Energy
Chris Wright, U.S. Secretary of Energy - Official Website
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The U.S. Department of Energy (DOE) has finalized a $1.5 billion loan to Wabash Valley Resources, LLC, for the development of a coal-powered ammonia fertilizer facility in West Terre Haute, Indiana. The funding will support the restart and conversion of 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 petroleum coke 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.”

The initiative aims to strengthen domestic supply chains by reducing reliance on imported fertilizers from regions such as Canada, the Caribbean, the Middle East, and Russia. The project is anticipated to lower costs for farmers and consumers while enhancing national food security through local production in the Eastern Corn Belt region.

The DOE indicated that this loan was evaluated under new guidance from Secretary Wright and represents the second closed loan under the Energy Dominance Financing Program established by recent legislation known as the Working Families Tax Cut or One Big Beautiful Bill Act.

According to DOE officials, today’s announcement underscores their commitment to advancing national security objectives related to energy dominance by securing domestic fertilizer supplies for agricultural producers in key U.S. regions.

“For too long, America has been dependent on foreign sources of fertilizer,” said U.S. Energy Secretary Chris Wright. “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.”

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