The fertilizer shocks of recent years exposed a structural weakness in global agriculture: most nitrogen fertilizer depends on a fossil-fueled, centralized supply chain that is price-volatile and carbon intensive. A wave of new companies and research groups is now targeting a radical alternative—small, containerized “green ammonia” plants that sit on or near farms and turn air, water, and renewable electricity into anhydrous ammonia (NH3). The goal is to localize nitrogen production, stabilize costs, cut emissions, and integrate fertilizer manufacturing with farm operations.

What on-farm green ammonia actually is

Ammonia is the world’s primary nitrogen fertilizer and is 82% nitrogen by weight. Today, almost all ammonia is produced at large industrial sites using the Haber-Bosch process powered by natural gas or coal, which emits 1.6–2.0 tons of CO2 per ton of ammonia from natural gas (and more from coal). “Green ammonia” swaps the fossil inputs for renewable electricity and water. In a modular, farm-scale system, the process typically runs as follows:

• Water electrolysis: Renewable electricity splits purified water into hydrogen and oxygen. Modern electrolyzers generally require about 48–55 kWh per kilogram of hydrogen.
• Nitrogen separation: Nitrogen is extracted from ambient air using a small pressure swing adsorption unit or membrane system.
• Ammonia synthesis: Hydrogen and nitrogen react to form NH3 in a compact ammonia loop. Today’s modular systems often use a scaled-down Haber-Bosch reactor with advanced catalysts and heat integration optimized for smaller flows.
• Storage: Liquid ammonia is stored on-site in nurse tanks or a stationary vessel for seasonal application.

End-to-end, a green ammonia unit typically consumes about 9–12 MWh of electricity per ton of ammonia produced, depending on electrolyzer efficiency and system design. The water demand is modest: roughly 9–12 liters per kilogram of hydrogen, translating to about 1.6–2.1 cubic meters of deionized water per ton of ammonia.

Why this matters for farms

Cost stability and supply security

Nitrogen prices have swung from the mid-hundreds to well over $1,000 per ton in recent years due to energy prices, logistics, and geopolitics. On-site production hedges that volatility. With electricity at $0.03/kWh and 10 MWh/ton, the electricity cost component of green ammonia is about $300 per ton; the rest is capital recovery and maintenance. The all-in cost is highly site-specific, but the economics are increasingly competitive where farms can access low-cost power or co-locate with renewables.

Operational control

Fertilizer availability during narrow field windows is critical. Producing ammonia in the off-season and storing it locally reduces delivery risk and lets growers match output to crop plans. A single 1,000-gallon nurse tank holds roughly 2.3 tons of ammonia, enough to cover around 20–25 acres at common application rates.

Lower carbon intensity

When powered by wind, solar, or low-carbon grids, green ammonia production can approach near-zero scope 1 and 2 emissions. It doesn’t solve soil nitrous oxide emissions, but it enables more precise and timely application—paired with 4R nutrient stewardship and inhibitors—which can help reduce losses and associated emissions.

How modular systems fit into real farm workflows

Most farms don’t need year-round ammonia output. The modular model favors flexible operation and storage:

• Seasonal production: Run the plant steadily during off-peak months to build inventory before spring or fall application.
• Storage and logistics: Use stationary tanks plus existing nurse tank fleets to move ammonia to the field. Many growers already have the handling practices and safety protocols in place for anhydrous ammonia.
• Precision application: Integrate with variable-rate applicators and data from soil tests, satellite imagery, or as-applied yield maps to align nitrogen with crop demand.

Where a single farm’s nitrogen need is too large for a small unit, co-op models are emerging: a centralized modular plant can serve multiple growers within a short haul radius.

The technology stack and what’s new

Electrolyzers

Alkaline and PEM electrolyzers dominate today; both are increasingly modular and containerized. Solid oxide electrolyzers promise higher efficiency when waste heat is available, which can pair well with ammonia loops that run hot.

Nitrogen separation

Pressure swing adsorption units tuned for small flows provide high-purity nitrogen. Trace oxygen must be minimized to protect catalysts, so the nitrogen plant is a critical reliability component.

Compact ammonia loops

Traditional Haber-Bosch prefers steady, large-scale operation. The new wave of small systems uses microchannel heat exchangers, improved ruthenium- or iron-based catalysts, clever heat recovery, and control software to manage turndown and cycling. Some systems operate at lower pressures than conventional plants, trading absolute efficiency for simplicity and flexibility.

Beyond Haber-Bosch: emerging pathways

• Plasma catalysis: Non-thermal plasma can activate nitrogen at lower temperatures, potentially easing start-stop operation. This is promising but not yet widely commercial.
• Electrochemical nitrogen reduction (ENRR): Directly reducing nitrogen to ammonia in an electrochemical cell would eliminate the separate ammonia loop. While lab progress is notable, selectivity and stability at scale are still active research areas.

Powering the plant: grid, renewables, or both

Electricity cost and carbon intensity largely determine the competitiveness of on-site ammonia. Common approaches include:

• Grid-tied with time-of-use optimization: Run hardest when power is cheap; throttle back during peaks.
• Direct-coupled renewables: Co-locate with wind or solar and use small batteries or hydrogen buffers to smooth intermittency.
• Hybrid models: Grid plus on-site renewables with a control system that arbitrages price and carbon signals.

Because electrolyzers can ramp quickly, the system can participate in demand response or ancillary services in some markets, improving project economics.

Safety, regulations, and training

Ammonia is effective but hazardous: it’s corrosive and can cause severe injury at high concentrations. Farm use is already regulated, and those frameworks generally extend to on-site production and storage. Key elements include:

• Engineering controls: Double-walled tanks, excess-flow valves, backflow prevention, and properly rated hoses and fittings.
• Detection and ventilation: Fixed and portable ammonia sensors, alarm integration, and emergency ventilation for enclosed spaces.
• Personal protective equipment and training: Goggles/face shields, gloves, respirators where required, and routine drills for spill response.
• Permitting: Electrical and pressure vessel codes, environmental reporting thresholds, and transport rules for nurse tanks.

Well-designed modular plants are shipped with integrated safety systems and remote monitoring. Even so, farms and co-ops should budget time for training and for aligning with local authorities.

What the numbers look like on a typical operation

Consider a 1,000-acre corn operation targeting 180 pounds of nitrogen per acre. That’s 180,000 pounds (about 81.6 metric tons) of nitrogen. As anhydrous ammonia is 82% nitrogen, the farm needs roughly 99 metric tons of ammonia across the season. At 1 ton per day, a modular unit could supply that in a little over three months of off-season operation, with storage sized accordingly. Larger farms could scale with multiple units or cooperative plants.

Capital and operating costs vary widely by vendor, capacity, and power arrangements. Many projects pencil out when farms can secure sustained low-cost electricity and when the ammonia price hedge is valued. Service-based models—where the vendor owns and maintains the unit while the farm pays a fixed or indexed price per ton—are also appearing.

Environmental realities: what it solves—and what it doesn’t

Localized green ammonia eliminates most production-related CO2 and reduces trucking emissions. But nitrogen use efficiency in the field remains the main driver of runoff and nitrous oxide. The technology works best alongside:

• 4R nutrient stewardship (right source, rate, time, place)
• Variable-rate and split applications guided by soil tests and crop models
• Nitrification inhibitors where appropriate
• Cover crops and improved residue management

Put differently: making cleaner ammonia is necessary but not sufficient. The bigger prize comes when localized, predictable supply enables more precise agronomy.

Potential beyond fertilizer

Ammonia is also a dense hydrogen carrier. In the long term, farms could crack ammonia back to hydrogen for fuel cells or use ammonia-capable engines for stationary power. Any combustion application must address NOx with proper combustion strategies and aftertreatment. While promising, those fuel pathways are still early relative to fertilizer use, which is commercially ready today.

Early deployments and the road ahead

Pilot plants have demonstrated wind-to-ammonia and small-scale green ammonia production in agricultural regions, validating the technical concept and highlighting integration challenges like steady-state operation versus intermittent power. The next phase is commercial scaling: standardized 0.5–5 ton-per-day units, service contracts that simplify ownership, and co-op or regional hubs serving multiple farms.

Three trends will likely define adoption over the next five years:

• Cheaper, more efficient electrolyzers and better controls for variable power
• Improved small-scale ammonia loops with lower start-up times and wider turndown ratios
• Business models that bundle equipment, permitting, maintenance, and power procurement

If those pieces continue to advance, on-farm ammonia could shift from an engineering curiosity to a practical tool for managing risk, emissions, and productivity in row-crop systems.

Bottom line

Modular green ammonia brings the century-old promise of Haber-Bosch down to farm scale. It won’t replace every ton of conventional ammonia overnight, but it offers growers a new lever: produce part of their nitrogen locally, on their schedule, with a clearer line of sight on costs and carbon. In an era of weather and market volatility, that kind of control is more than a novelty—it’s resilience.