NYK inks deal for green ammonia transport from India to Japan

Japanese shipping heavyweight NYK has signed an agreement for the marine transport of green ammonia to Japan in collaboration with Kyushu Electric Power Company, Sojitz Corporation and Sembcorp Green Hydrogen, a subsidiary of Singaporean state-owned energy giant Semcorp.

As informed, the signing ceremony for the agreement took place in Delhi, India, on August 20, 2024. Under the agreement, the partners aim to produce “highly competitive” green ammonia in India, a country with abundant renewable energy resources.

In June, Kyushu Electric and Sojitz, together with Sembcorp, reached a basic agreement to supply green ammonia produced in this project to various industrial parties in Japan, primarily in the Kyushu region.

NYK noted that the deal is based on the premise that approximately 200,000 metric tons of green ammonia will be produced annually through this project and transported to Kyushu region.

Green ammonia is ammonia produced using renewable energy. Since CO₂ is not emitted during its production or combustion, the fuel is expected to be a powerful energy resource for a decarbonized society.

Japanese shipping giant plans to contribute to establishing supply chains of next-generation energy such as ammonia, in the Kyushu region and elsewhere in Japan, through its marine transportation services.

Last month, NYK conducted the world’s first truck-to-ship bunkering of ammonia to an ammonia-fueled tugboat. According to the company, the vessel will become the world’s first commercially operated ammonia-fueled ship upon completion at the end of August 2024.