Supply of Green Ammonia from India to Japan by Sembcorp

Sembcorp to supply green ammonia from India to Japan
Sembcorp has secured land in India for its green hydrogen project, aiming to produce 200,000 metric tonnes per annum of green ammonia. The Heads of Terms agreement with Sojitz Corporation and Kyushu Electric Power Co Inc signals progress towards a definitive offtake agreement, highlighting a commitment to a low-carbon supply chain.
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Sembcorp Industries has secured land in India for a green ammonia production facility and is working towards a front-end engineering design award following a feasibility study. The company’s subsidiary, Sembcorp Green Hydrogen, has signed a Heads of Terms (HoT) agreement with buyers Sojitz Corporation and Kyushu Electric Power Co Inc of Japan for a green ammonia offtake agreement. Sembcorp will be the lead developer and operator of the project, utilizing renewable energy to produce an initial 200,000 metric tonnes per annum of green ammonia in India.

The HoT agreement was presented at the Indo-Pacific Economic Framework (IPEF) Clean Economy Investor Forum in the presence of government officials from Japan, Singapore, and India. The project aims to accelerate the development of a low-carbon supply chain and transition to a clean economy in the region. Sembcorp’s commitment to driving energy transition and leveraging its expertise in India, where it has a substantial renewables portfolio, is highlighted through this collaboration. A consortium agreement was signed in December 2023 to explore supplying Japan with green ammonia produced in India, marking a significant step towards achieving sustainability goals.

This cross-border collaboration showcases the collaboration between Japan, Singapore, and India to advance the adoption of clean energy and promote a low-carbon supply chain. Sembcorp’s extensive experience and proven track record in India further emphasize its commitment to energy transition. By producing green ammonia using renewable energy sources, the project aligns with efforts to reduce carbon emissions and promote sustainable practices in the region.

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