Singapore-based Sembcorp to supply green ammonia to Japan from its India plant

Singapore, Jun 6 (PTI) Singapore-based Sembcorp Green Hydrogen Pte Ltd on Thursday said it has signed an agreement with two Janpanese firms to supply green ammonia from its 200,000-metric tonne capacity plant in India.

Land for the facility in India has been secured, Sembcorp said, adding that the work towards a front-end engineering design award for the project is underway following the completion of a feasibility study.

Sembcorp Green Hydrogen Pte Ltd, a wholly-owned subsidiary of Singapore's Sembcorp Industries, has signed a Heads of Terms (HoT) with buyers Sojitz Corporation and Kyushu Electric Power Co Inc of Japan, paving the way to finalise a definitive green ammonia offtake agreement.

As the lead developer and operator of the project, Sembcorp will utilise renewable energy to produce an initial 200,000 metric tonnes per annum of green ammonia from the Indian plant, Sembcorp said.

The HoT was presented at the Indo-Pacific Economic Framework (IPEF) Clean Economy Investor Forum in the presence of Ken Saito, Minister of Economy, Trade and Industry, Japan; Tan See Leng, Second Minister for Trade and Industry, Singapore; and Sunil Barthwal, Commerce Secretary, Ministry of Commerce and Industry, Government of India.

The project brings together three IPEF members -- Japan, Singapore and India -- in a cross-border collaboration aimed at accelerating the development of a low-carbon supply chain and advancing the region's transition to a clean economy.

It also demonstrates Sembcorp's commitment to drive energy transition, while leveraging its expertise and proven track record in India, where it has a gross renewables portfolio of 4.7GW.

In December 2023, an agreement was signed by the three companies as a consortium to explore supplying Japan with green ammonia produced in India.

The two-day IPEF Clean Economy Investor Forum meet started in Singapore on Wednesday. The forum has 14 members including India and the US. PTI GS HVA