Business Economy


AM Green, JERA sign Ppact for annual supply of 70,000 tonnes of green ammonia to Japan

Hyderabad, Oct 27 (UNI) Hyderabad-based AM Green and Japan's JERA Co. have signed a binding heads of agreement for the long-term supply of around 70,000 tonnes of green ammonia annually for five years, supporting India's clean energy exports and the decarbonisation of maritime transport.
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 company said in a release on Tuesday.
The agreement provides 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.
The proposed supplies will 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 supply chain will use receiving, storage and distribution facilities being developed adjacent to JERA's Hekinan Thermal Power Station in Aichi Prefecture, Japan.
The project is among the early large-scale initiatives aimed at developing green ammonia-based bunkering infrastructure for maritime applications.
AM Green's Kakinada facility will use advanced alkaline electrolysis technology supported by round-the-clock renewable energy and pumped-hydro storage.
The company is developing the project with a planned annual production capacity of one million tonnes of green ammonia.
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 connecting diversified supply sources with demand across industries.
Mahesh Kolli, Group President and Joint Managing Director of AM Green, said the partnership reflected growing demand for competitively priced green fuels from India and highlighted the strategic importance of the Kakinada project in supporting Japan's and the maritime industry's decarbonisation goals.
The agreement is among AM Green's first delivered-basis supply contracts in the Asian market and is expected to strengthen India's role as a supplier of low-carbon fuels to international markets.
UNI KNR BM
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