The U.S. Department of Energy (DOE) has closed a $1.5 billion loan to Wabash Valley Resources, LLC, aimed at reviving and repurposing a coal gasification plant in West Terre Haute, Indiana. The facility will produce 500,000 metric tons of anhydrous ammonia fertilizer annually using coal from a nearby Southern Indiana mine and petroleum coke as feedstock.
This initiative marks the reopening of a plant that has been idle since 2016. According to the DOE, the project is expected to support independent, American-made fertilizer production and reduce reliance on foreign imports from countries such as Canada, the Caribbean, the Middle East, and Russia.
“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.”
By investing in this coal community project, DOE aims to reinforce domestic supply chains for ammonia fertilizer—a key input for farmers across the Corn Belt region—and create hundreds of jobs in the process. The department states that these efforts will help lower costs for both farmers and consumers while enhancing national food security.
The financial backing was evaluated under new guidance issued by Secretary Wright for DOE’s Loan Programs Office (LPO). This loan is part of the Energy Dominance Financing (EDF) Program established through recent legislative measures known as the Working Families Tax Cut or One Big Beautiful Bill Act.
DOE officials emphasize that today’s announcement aligns with broader national goals set by President Trump to achieve energy dominance and secure critical resources for agriculture. The agency describes this move as supporting reliable access to affordable energy and strengthening food supply chains in the Eastern Corn Belt.
