Horisont has signed non-binding ammonia offtake term sheet for the Barents Blue project

12 Mar 2025 17:00 CET

Horisont Energi (EURONEXT: HRGI) is progressing the commercial work and has now
passed a new milestone for the Barents Blue project by signing a term-sheet
(non-binding) with a European energy group for ammonia sales from the planned
clean ammonia plant in Northern Norway.

The term sheet is a key part of the commercial work required to reach the
concept select milestone later this year.

This term-sheet creates a good basis for the further commercial work towards the
realisation of the Barents Blue project and the upcoming concept select
milestone, say Co-CEO’s Bjørgulf Haukelidsæter Eidesen and Leiv Kallestad.

The next step for the ammonia sales agreements, following completion of
non-binding term-sheets, include negotiating Sales and Purchase Agreements
(SPAs) targeted for completion in 2026. The Barents Blue project is mature from
a technical, contractual and zoning perspective. It is an EU IPCEI Hydrogen
project setting the highest environmental standards for clean ammonia
production. As the project moves towards achieving the concept select milestone,
when the first FEED study phase will be initiated, the key focus is to achieve
the same level of maturity for the commercial work. Towards this end, the
project has been working on commercial agreements for the supply of gas, offtake
of clean ammonia and storage of CO2.

About the Barents Blue project: The Barents Blue project, being developed by
Horisont Energi, is a clean ammonia plant located at Markoppnes in Northern
Norway. The annual production for the first phase of the project will be 1
million tonnes. With a best-in-class carbon capture rate above 99% this will be
the most energy-efficient clean ammonia plant in the world, well-aligned with
the EU taxonomy. Barents Blue has already secured sufficient power supply for
the first phase of the project. The Barents Blue project is supported by a grant
of NOK 482 million as part of the EU IPCEI hydrogen program, Hy2Use. The project
targets final investment decision 2026 and estimated production start in
2029/2030.

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