Yara pre-orders world’s 1st green ammonia floating bunkering terminals

The world’s first carbon-free ammonia fuel bunker network is arriving in Scandinavia. Norwegian fertilizer company Yara International has pre-ordered 15 floating bunkering terminals from compatriot Azane Fuel Solutions, enabling the delivery of green ammonia fuel to the shipping industry.

Yara International and Azane Fuel Solutions have signed a commercial agreement to establish a carbon-free ammonia fuel bunker network in Scandinavia.

The ammonia bunker terminals will be designed and constructed by Azane Fuel Solutions and delivered to Yara.

Azane Fuel Solutions is a joint venture created last year by technology company ECONNECT Energy and zero-emission ship project specialist Amon Maritime in an effort to fill an existing gap in the ammonia fuel value chain by developing ammonia ship bunkering infrastructure technology, products and services.

As one of the world’s largest ammonia producers, Yara will use its position to deliver green ammonia to the shipping industry. The network of carbon-free floating bunkering terminals is a major step towards making shipping fossil-fuel free.

“These bunkering terminals are key pieces of the puzzle to ensure reliable and safe ammonia supply as zero-emission fuel. Yara is excited to be a part of the project and to own and operate the first operational ammonia fuel terminals in the world,” Magnus Krogh Ankarstrand, President of Yara Clean Ammonia, commented.

Last year, the Azane Shareholders, AMON Maritime and ECONNECT Energy received public funds from Norway’s Green Initiative program to develop and construct the first pilot unit. Along with grants from Innovation Norway and Norwegian Research Council, they will fund the pilot terminal.

Subsequently, Yara has pre-ordered 15 units to sufficiently cover the Scandinavian market in a multi-year contract with Azane Fuel Solutions.

“We are pleased to receive this major pre-order of terminals and for the vote of confidence from Yara to help establish their ammonia bunkering strategy in Scandinavia,” Morten A. Christophersen, CEO at ECONNECT Energy and Board Member of Azane Fuel Solutions, said.

As informed, Yara’s bunker terminals will be either barge-based or land-based. Both terminal designs have storage tanks and processing capacity for the safe storage, handling, and transfer of ammonia.

The bunker terminal is designed for efficient loading and unloading to/from ships and with the option for truck loading and unloading.

Through this agreement, Yara makes green ammonia available as fuel for ships in Scandinavia by 2024. This is a critical step for ammonia-fuelled shipowners.

“For those of us who build ships that will run on green ammonia, this agreement means that we can be sure that the fuel is available for delivery when the first vessels are ready,” André Risholm, CEO at Amon Maritime, Board member of Viridis Bulk Carriers and Chairman of Azane Fuel Solutions, noted.

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