Asia/Pacific News
Itochu and NH3 Sign Pact to Develop Ammonia Bunkering in Asia Pacific
Japanese trading firm Itochu and Australia's NH3 Clean Energy have signed a deal to develop ammonia bunkering operations in the Asia Pacific region.
Both firms will work together over the next two years to aggregate shipping demand for ammonia across the Asia Pacific, NH3 said in a statement on its website on Monday.
Up to 300,000 mt/year of ammonia is expected to be supplied from NH3's proposed WAH2 Project in Western Australia.
A major focus of the collaboration is Australia's Pilbara, where the partners are targeting the establishment of ammonia bunkering operations by 2030.
The fuel is intended to serve bulk carriers operating on long-haul routes between Australia and Asia, including iron ore export trades.
Ammonia is increasingly viewed as a potential future marine fuel to help decarbonise shipping, but commercial adoption has yet to materialise, with only a small number of ammonia-fuelled vessels ordered so far.
This suggests the fuel is still several years away from becoming mainstream.
Despite this, early demand signals are emerging.
Japanese shipping company MOL recently joined a project to develop a low-carbon ammonia bunkering network in Australia's Pilbara region.
The MoU also connects NH3 with Itochu's wider ammonia bunkering ambitions in the region.
Itochu is already working to develop ammonia bunkering in Singapore and Japan.
Itochu, along with MOL, plans to demonstrate ship-to-ship ammonia bunkering in Singapore using its 5,000 m3 bunker vessel in 2027.
The MoU between Itochu and NH3 is intended to help underpin a final investment decision on the WAH2 Project, which is currently targeted for late 2026.
