Yara and VNG plan close collaboration on clean ammonia in Germany

Yara Clean Ammonia,  a subsidiary of Norwegian fertiliser company Yara International, is joining forces with Leipzig-based gas company VNG in the field of clean ammonia that will actively support the implementation plans outlined in the German Hydrogen Strategy.

To this end, the companies signed an official cooperation agreement at the Yara plant in Poppendorf, near Rostock, on 24 April.

The agreement is seen as a first step towards a future supply agreement between both parties and can eventually enable further projects to facilitate clean ammonia as a hydrogen and energy carrier into the German market, with Rostock as a point of import.

The parties said the clean ammonia can be supplied from YARA to VNG and the hydrogen and ammonia infrastructure in the German hanseatic city Rostock will be used and could be further developed.

Furthermore, VNG and YARA expressed their wish to intensify and develop the collaboration with the city of Rostock and specifically Rostock port to turn the port into a hub for clean ammonia imports. This is considered “a perfect starting point” with YARA’s expertise and already existing and potentially extendable infrastructure as well as the proximity to the extensive pipeline network of ONTRAS Gastransport GmbH, a subsidiary of VNG.

The companies noted that their collaboration would significantly promote and facilitate the ongoing work related to “Green Port Rostock” expanding capacity, initiating new industry activities connected to clean ammonia and hydrogen and thus, contributing to the development of the city and port of Rostock, the surrounding region, and the Federal State of Mecklenburg-Western Pomerania.

“We are happy about the commitment with YARA to explore opportunities for cooperation in clean ammonia. This is a great example of the reinforcing Norwegian-German partnership in the energy sector. Our common objective is to empower the decarbonisation in East Germany, especially in the industrial sector”, stated Ulf Heitmüller, CEO of VNG.

“The German Energiewende and the Hydrogen Strategy makes Germany a CenterPoint for the development and implementation of the low carbon hydrogen and ammonia value chains. Yara is already well positioned to take part in this development with our import terminals in Rostock and Brunsbüttel, and we see the collaboration with VNG as a very important step to help develop the low carbon hydrogen value chains in Germany”, said Magnus Ankarstrand, President of Yara Clean Ammonia, Norway.