The U.S. Trade and Development Agency (USTDA) has announced a grant to fund a feasibility study for a large-scale ammonia production plant in Laayoune, Western Sahara. This marks the first known U.S. government financing for a project in the disputed territory, according to statements from U.S. Ambassador to Morocco Puneet Talwar and USTDA officials.
The plant, planned by a consortium including OCP Group and other partners, aims to produce green ammonia using renewable energy sources. The USTDA grant will support technical and economic assessments to advance the project, which aligns with Morocco's energy transition goals.
Ambassador Talwar emphasized that the project reflects U.S. support for sustainable development in the region, while USTDA Director Enoh T. Ebong noted the agency's commitment to fostering clean energy infrastructure. The announcement has drawn attention due to the political status of Western Sahara, a territory disputed between Morocco and the Polisario Front.