Japanese and UAE Firms Demonstrate Ammonia Supply Chain

by Ship & Bunker News Team
Thursday June 30, 2022

A partnership of firms have demonstrated the possibility of setting up a green ammonia supply chain between the UAE and Japan.

INPEX Corporation, IHI Corporation and shipping firm MOL have demonstrated the potential for ammonia supply with a containerised shipment, the companies said in a press release on Thursday.

MOL transported an ISO tank container of ammonia from Abu Dhabi to Japan. 

The ammonia was supplied by energy firm ADNOC and produced by Fertiglobe. The ammonia was produced from natural gas, with most of the CO2 emitted during the production sequestered and injected into Abu Dhabi onshore oil fields.

IHI used the ammonia in a combustion experiment in Japan in an ammonia combustion turbine currently under development.

"Ammonia is advantageous when used as an energy carrier (as a mode of storage and transportation) and emits no CO2 when combusted," the companies said in the statement.

"It is therefore expected to be utilized as fuel for power generation and marine transportation in line with global movements toward a decarbonized society."

Ammonia is a likely contender for a significant share of future bunker demand as shipping companies seek to eliminate their carbon emissions, but significant research and development work will need to be carried out before it is safe to transport and use as a marine fuel.

A recent shipping industry report identified seven scenarios with 'intolerable' risks associated with them to overcome before ammonia can be used widely as a marine fuel.