JERA, AM Green Sign Pact for Annual Supply of 70,000 Tonnes of Green Ammonia to Japan
Under the agreement, the green ammonia will be produced at AM Green’s facility in Kakinada, Andhra Pradesh, which is scheduled to be commissioned in 2028-29, the Hyderabad based AM Green said in a release on Monday.
The pact allows for a possible extension of the supply period and an increase in volumes.
The ammonia is primarily intended for use as marine fuel in ammonia-powered car carriers.
Supplies are proposed to be transported through an ammonia bunkering vessel to be operated by a planned joint venture between Kawasaki Kisen Kaisha and Nippon Yusen Kabushiki Kaisha.
The project is among the early large-scale initiatives globally to develop green ammonia-based bunkering infrastructure and marks an expansion of Japan’s ammonia utilisation beyond power generation into maritime applications.
The supply chain will use receiving, storage and distribution facilities being developed adjacent to JERA’s Hekinan Thermal Power Station in Aichi Prefecture, Japan.
AM Green’s Kakinada project will use advanced alkaline electrolysis technology, supported by round-the-clock renewable energy and pumped-hydro storage.
The company is developing the facility with a planned production capacity of one million tonnes of green ammonia annually.
The agreement is among AM Green’s first delivered-basis supply contracts in the Asian market and strengthens India’s prospects as a supplier of low-carbon fuels to international markets.
Irtiza Sayyed, JERA’s Senior Managing Executive Officer and CEO of JERA Global Energy Solutions, said the agreement would help advance Japan’s low-carbon ammonia supply chain by linking diversified sources of ammonia with demand from customers across industries.
Mahesh Kolli, Group President and Joint Managing Director of AM Green, said the partnership reflected growing demand for competitively priced green molecules from India and underscored the strategic importance of the Kakinada project in supporting Japan’s and the maritime industry’s decarbonisation goals.
TNT KM
