Continuous Delivery using terraform to an EC2 instance

I don't see an issue using Terraform to deploy resources as part of continuous delivery. In fact, Terraform deploys CloudFormation stack(s) so essentially, it's no different from using CloudFormation to deploy resources.

Is there a good way to achieve it as I am planning to add to by project? Which tool are you planning to use for CI/CD? For AWS, you can use CodeCommit, CodeBuild, CodeDeploy, and CodePipeline to create a CI/CD pipeline. See below references.

• Developer Tools
• Practicing Continuous Integration and Continuous Delivery on AWS

Also, there are many AWS blog posts that talk about integration with third-party services for CI/CD pipeline deployment. I suggest taking a look at AWS DevOps Blog posts.