Yara and Bunker Holding work together to advance clean ammonia as marine fuel Ship’s crew

A unit of Norwegian fertilizer maker Yara has signed a memorandum of understanding with Bunker Holding Group, a leading bunker trading company, to advance the market for clean ammonia as a sustainable marine fuel.

Under the MOU, Yara Clean Ammonia (YCA) and Bunker Holding will work together to advance plans to supply clean ammonia for marine fuel to first movers in the shipping industry. The focus is initially on important trade routes and bunker ports around the world.

Clean ammonia is seen as an effective alternative to decarbonize maritime transport. Shipping companies are expected to expand its use by 2026 to reduce life cycle CO2 emissions by up to 100%.

“Our global assets and logistical footprint coupled with Bunker Holdings’ position as the world’s largest bunker provider will provide security and reliability in the supply of clean ammonia for marine fuel and bring more resilience and robustness to the development of this value chain in the future,” said Murali Srinivasan , SVP Commercial by Yara Clean Ammonia.

Valerie Ahrens, Bunker Holding’s senior director of new fuels and carbon markets, said the two companies would work to develop a “credible commercial proposition” to supply their global customer base with low-carbon and zero-carbon ammonia.

“At Bunker Holding, we strive to play a leading role in facilitating the decarbonization of the maritime sector. Therefore, it is crucial for us to work with partners who can offer the market confidence in the scale and security of low-carbon fuel supply,” said Ahrens.

Based in Oslo, Yara Clean Ammonia operates through Yara the largest global ammonia network with 15 vessels and access to 18 ammonia terminals and multiple ammonia production and consumption sites around the world.

Yara produced around 7.7 million tons of ammonia in 2022, which is about 5% of global ammonia production.

Related Articles

Back to top button