The top worldwide ammonia distributor, Yara Clean Ammonia, of Norway and Greenko ZeroC, the green ammonia manufacturing business of India’s AM Green, have signed a substantial partnership to deliver renewable ammonia.

A term sheet committing Greenko to supply up to 50% of the renewable ammonia generated during the first phase of its new plant in Kakinada, Andhra Pradesh, serves as the foundation for the cooperation. AM Green aims that the project will start with an annual output of one million tons of green ammonia and increase to five million tons by 2030.

As part of the partnership, Yara Clean Ammonia will use Greenko ZeroC’s green ammonia to produce low-emission fertilizers and reduce carbon emissions in industries including power generation and shipping. In accordance with the renewable fuels of non-biological origin (RFNBO) regulations set forth by the European Union, the Kakinada project is anticipated to start exporting renewable ammonia by 2027.

Yara Clean Ammonia’s CEO, Hans Olav Raen, emphasized that the transaction will greatly expand Yara’s array of renewable energy resources. With 15 cargo boats and 18 ammonia terminals globally, Yara runs the largest ammonia network on a global scale.

Anil Chalamalasetty and Mahesh Kolli of the Greenko Group founded AM Green, which is establishing itself as a leader in the clean energy space by extending its production capabilities. It includes sustainable aviation fuels, green hydrogen, green ammonia and other essential chemicals targeted at global decarbonization. The company is building production capacity in India for green molecules.