Yara Clean Ammonia and AM Green sign agreement for renewable ammonia supply from India

Yara Clean Ammonia, and Greenko ZeroC, the green ammonia production arm of India-based AM Green, have signed a term sheet for the long-term supply of renewable ammonia from Phase 1 of AM Green’s production facility in Kakinada, India. The agreement covers up to 50% of the renewable ammonia produced in Phase 1 of the Kakinada plant, which will derive its energy from round-the-clock carbon-free sources by 2027. This renewable ammonia will be compliant with EU RFNBO and Renewable Energy Directive requirements, contributing to the production of low-emission fertilizer and the decarbonization of industries such as shipping, power generation, and other industrial applications.

“The AM Green Kakinada project expands our portfolio of ammonia produced with renewable energy and consolidates Yara Clean Ammonia’s position as a reliable supplier of low-emission ammonia to established and emerging markets,” said Hans Olav Raen, CEO of Yara Clean Ammonia.

Mahesh Kolli, President of AM Green, expressed enthusiasm about the partnership, stating, “We are delighted to partner with Yara Clean Ammonia to propel the transformation of various industries and several OECD economies. Continuous focus on innovation combined with execution reinforces AM Green’s leadership position as a global clean energy transition solutions platform.”

Yara Clean Ammonia, leveraging Yara’s extensive experience in global ammonia production, logistics, and trade, aims to capture growth opportunities in low-emission fuel for shipping and power, carbon-free food production, and ammonia for industrial applications. The company operates the largest global ammonia network, with 15 ships and access to 18 ammonia terminals worldwide.

AM Green, founded by the leaders of Hyderabad-based Greenko Group, is developing one of the world’s largest green ammonia platforms. Starting with a production capacity of 1 million tons at Kakinada, the company plans to expand to 5 million tons per annum by 2030, equivalent to 1 million tons of hydrogen. AM Green is also developing capabilities for various green molecules and has entered a joint venture with John Cockerill of Belgium to manufacture electrolysers.