Yara and AM Green seal major agreement on green ammonia
Yara Clean Ammonia and AM Green sign a long-term supply agreement for renewable ammonia, marking a significant step forward in the global energy transition.
| Sectors | Hydrogen Energy, Ammonia |
|---|---|
| Themes | Investments & Transactions, Commercial Partnerships |
| Countries | India, Norway |
Yara Clean Ammonia, the world’s leading ammonia distributor, has teamed up with Greenko ZeroC, the green ammonia production arm of India’s AM Green Group, to sign a term sheet for the supply of renewable ammonia. The agreement provides for the long-term delivery of up to 50% of the renewable ammonia produced by the first phase of AM Green’s production facility in Kakinada, India. Scheduled to start production in 2027, the plant will use continuously available carbon-free energy to produce and export renewable ammonia.
Ecological and industrial impact
The renewable ammonia resulting from this initiative will meet the requirements of the EU Renewable Energy Directive and the EU RFNBO. For Yara Clean Ammonia, this supply will contribute to the production of low-emission fertilizers and the decarbonization of various industries, including shipping, power generation and energy-intensive industries. Executives from both companies expressed their enthusiasm for the partnership, highlighting its potential to transform several OECD economies and industry sectors through innovation and execution.
Consolidation and Expansion
Hans Olav Raen, CEO of Yara Clean Ammonia, said the AM Green Kakinada project expands their portfolio of ammonia produced with renewable energy and consolidates Yara’s position as a reliable supplier of low-emission ammonia for established and emerging markets. This project is strategic not only for production capacity, but also for its integration into the global ammonia value chain, strengthening the links between renewable energy production and industrial and commercial applications.
The joint initiative by Yara Clean Ammonia and AM Green represents a major breakthrough in renewable ammonia production, with far-reaching implications for environmental sustainability and global energy efficiency. By building bridges between cutting-edge technologies and industrial needs, this agreement lays the foundations for large-scale ecological and energy transformation.
