ExxonMobil has selected Australia-based Worley to provide engineering, procurement and construction services for a proposed hydrogen and ammonia production facility in Baytown, Texas, the engineer-contractor announced Dec.16.

The plant, to be located near the energy giant's Gulf Coast chemicals and refining complex, is set to have a production capacity of 1 billion cu ft of blue hydrogen per day, made using natural gas with carbon capture and storage technology, plus 1 million tons of ammonia per year. 

ExxonMobil says it expects the facility will be the largest of its kind in the world. Worley’s contract covers work for the enabling works, infrastructure and interconnects associated with the facility. 

The companies did not share the value of the contract, but company CEO Chris Ashton said in a statement that the project “contributes significantly to strengthening Worley’s backlog.”  

ExxonMobil leaders recently told investors that the company “is working toward a final investment decision” next year. The project, which would still require regulatory approvals, could begin operating as soon as 2029, the company said.

ExxonMobil claims the facility would be “virtually carbon-free” because 98% of carbon dioxide produced by the facility—about 7 million metric tons per year—is expected to be captured and stored. The company says its carbon capture and storage system would also be available for use by third-party CO₂ emitters in the area. 

Earlier this year, the energy giant announced an agreement with Air Liquide to transport hydrogen from the Baytown location through the latter firm's pipeline network. Air Liquide will also build and operate four large modular air separation units to supply oxygen and nitrogen to the facility. 

ExxonMobil also said in September it signed an agreement with Abu Dhabi that its national oil company ADNOC will acquire a 35% equity stake in the hydrogen and ammonia facility. ADNOC managing director and Group CEO Sultan Ahmed Al Jaber, who also is an emirate minister, said the investment, the value of which was not disclosed, "is a significant step for [the firm] as we grow our portfolio of lower-carbon energy sources."

Last year ExxonMobil announced the award of a front-end engineering and design contract for the project, to French-based Technip Energies.