RWE and AM Green Partner for Long-Term Green Ammonia Supply Deal in India
Key Ideas
  • RWE Supply & Trading signs MoU with AM Green Ammonia for the long-term supply of up to 250,000 tonnes of green ammonia per year from production sites in Kakinada and Tuticorin, India.
  • AM Green's ammonia manufacturing facilities will be powered by solar, wind, and hydroelectric power, meeting EU standards for Renewable Fuels of Non-Biological Origin.
  • Deliveries of green ammonia from AM Green's sites are expected to start by 2027, with a subsequent offtake agreement to be detailed between the two parties.
  • Partnership aims to support industries in achieving climate goals by investing in hydrogen and low-carbon derivatives, showcasing commitment to green energy transition.
German company RWE Supply & Trading has entered into a memorandum of understanding with AM Green Ammonia (AMG), a subsidiary of the Indian AM Green Group, for a significant long-term supply deal of green ammonia. The agreement involves the supply of up to 250,000 tonnes of green ammonia annually, with an initial 50,000 tonnes produced at the Kakinada site and the rest sourced from Tuticorin. AM Green's ammonia manufacturing facilities will operate on carbon-free energy sources like solar, wind, and hydroelectric power, ensuring compliance with EU standards for Renewable Fuels of Non-Biological Origin. The Kakinada facility is already pre-certified for these standards, while certifications for other sites are in progress. Deliveries from AM Green's production sites are set to commence in 2027, with further contract details to be outlined. RWE's commitment to hydrogen investment is highlighted by this partnership, aiming to build sustainable supply chains globally. The collaboration with AM Green solidifies the security of green ammonia capacities early on, emphasizing the importance of renewable energy in achieving climate objectives. AM Green's Group President expressed enthusiasm about the partnership's potential to drive the transformation of industries and economies towards cleaner practices. This positive sentiment aligns with RWE's dedication to supporting climate goals through innovative and flexible contracting structures, in line with commodity trading practices. The article also mentions a previous agreement between Yara Clean Ammonia and AM Green, underlining the growing interest in green ammonia production and supply partnerships.
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