The U.S. Department of Energy closed financing for Wabash Valley Resources’ planned ammonia plant in West Terre Haute, Indiana, on October 29, 2025. DOE described the loan as $1.5 billion in its announcement; its project page lists $1.559 billion. The project would restart a coal gasification plant that has been idle since 2016, but it is not yet evidence of fertilizer output, lower prices, or jobs delivered.
What the loan finances
The borrower is Wabash Valley Resources, LLC. DOE says the project would restart and repurpose the idle gasification plant in West Terre Haute to produce up to 500,000 metric tons of anhydrous ammonia a year. Anhydrous ammonia is used as fertilizer and as an input to other nitrogen fertilizers.
DOE identifies coal from a nearby Southern Indiana mine and petroleum coke, or petcoke, as planned feedstocks. Reuters describes petcoke as a byproduct of oil refining. This is therefore a coal- and petcoke-based industrial project, rather than a conventional natural-gas-based ammonia facility.
Why the loan amount appears in two forms
DOE’s October 29, 2025 announcement calls the closed loan $1.5 billion. The agency’s Energy Dominance Financing project page gives the more precise amount of $1.559 billion. These are rounded and detailed descriptions of the same financing, not separate loans. Reuters also reported the rounded $1.5 billion figure.
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| Source | Reported amount | Meaning |
|---|---|---|
| DOE announcement, October 29, 2025 | $1.5 billion | Rounded amount for the loan close |
| DOE project page | $1.559 billion | Project-page amount for the financing |
DOE identifies the financing as part of its Energy Dominance Financing Program. A federal loan close is a financing milestone; it does not, by itself, establish that the plant is built or operating.
The carbon-capture plans changed between the earlier review and loan close
The project’s emissions configuration is an important distinction. DOE’s August 2025 environmental assessment and mitigated Finding of No Significant Impact evaluated an earlier proposed project that included hydrogen production, carbon capture, CO2 injection and monitoring wells, and ammonia synthesis. The proposed injection and monitoring locations included areas in Vigo and Vermillion Counties.
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Reuters reported at loan close that the project would use coal as well as petcoke and that emissions would no longer be captured and stored. Reuters contrasted that configuration with the earlier proposal, which used petcoke only and included permanent underground CO2 storage. The August review documents an earlier proposal; it does not establish that carbon capture is part of the configuration Reuters described at closing.
DOE concluded in its August assessment that providing the proposed federal loan guarantee would not have a significant effect on the human environment, based on that assessment and the project design then under review. That finding concerns the earlier proposed federal action and should not be read as a finding that the later-reported configuration has no environmental effects.
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What DOE says the project could deliver—and what remains unproven
DOE presents the project as a way to expand domestic fertilizer supply, support Corn Belt supply chains, lower costs, and strengthen food security. Those are agency-stated expectations, not measured results from an operating facility. DOE’s project page estimates that the project could support up to 500 construction jobs and 240 permanent U.S. jobs; those are job estimates, not employment outcomes.
At closing, the sources establish financing and project intent, not current construction progress, a commissioning date, actual ammonia production, customer contracts, or distribution partners. No buyer or fertilizer distributor is identified in the cited announcements. Until those details are documented, planned capacity and projected benefits should not be confused with product available to farmers or savings at retail.
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Sources and documented figures
- DOE’s October 29, 2025 loan-close announcement gives the rounded $1.5 billion amount, project purpose, planned output and feedstocks, and the department’s stated rationale.
- DOE’s Wabash Valley Resources project page lists the $1.559 billion amount, planned capacity, and estimated supported jobs.
- DOE’s August 2025 environmental assessment and mitigated Finding of No Significant Impact describes the earlier project design evaluated by the agency.
- Reuters’ October 29, 2025 report describes the configuration reported at closing and contrasts it with the earlier carbon-storage proposal.
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