The U.S. Department of Energy (DOE) has finalized a $1.5 billion loan to Wabash Valley Resources, LLC, supporting the development of a coal-powered fertilizer facility in West Terre Haute, Indiana. The project involves restarting and converting a coal gasification plant that has been idle since 2016 to produce an estimated 500,000 metric tons of anhydrous ammonia annually. The facility will use coal sourced from a local Southern Indiana mine and petcoke as feedstock.
U.S. Secretary of Energy Chris Wright emphasized the significance of this move for American agriculture: “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.”
Currently, farmers in the Corn Belt depend heavily on imported ammonia fertilizer from regions including Canada, the Caribbean, the Middle East, and Russia. The new facility aims to reduce this reliance by providing a domestic supply source for ammonia fertilizer—a key input for crop production in the region.
According to DOE statements, the project is expected to improve domestic supply chains and lower costs for both farmers and consumers while also enhancing national food security through cost-competitive ammonia production for the Eastern Corn Belt. Additionally, it is anticipated to create hundreds of jobs within the United States.
The DOE noted that this loan was approved following new guidance issued by Secretary Wright and aligns with federal efforts under the current administration to prioritize domestic energy production and responsible stewardship of taxpayer funds. This marks only the second closed loan under the Energy Dominance Financing Program established through recent legislation known as the One Big Beautiful Bill Act.
“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,” according to a statement from DOE.
