Sembcorp Seals Crucial Green Ammonia Deal with Japan

Sembcorp Green Hydrogen Pte Ltd has entered an agreement with Japanese firms Sojitz Corporation and Kyushu Electric Power to supply green ammonia from a new 200,000 metric tonne capacity plant in India. This deal marks a significant step towards a low-carbon supply chain in the Indo-Pacific region.

Singapore-based Sembcorp Green Hydrogen Pte Ltd announced Thursday its agreement with two Japanese companies to supply green ammonia from its 200,000-metric tonne capacity plant in India.

Land for the Indian facility is secured, and the front-end engineering design phase is underway following a feasibility study.

Sembcorp, a subsidiary of Sembcorp Industries, has signed a Heads of Terms (HoT) with Japan's Sojitz Corporation and Kyushu Electric Power Co Inc, setting the stage for a definitive green ammonia offtake agreement.

Sembcorp will utilize renewable energy to produce 200,000 metric tonnes of green ammonia annually, positioning itself as the lead developer and operator of the plant.

The agreement was unveiled at the Indo-Pacific Economic Framework (IPEF) Clean Economy Investor Forum, attended by key officials including Japan’s Ken Saito, Singapore’s Tan See Leng, and India’s Sunil Barthwal.

This project exemplifies a cross-border collaboration between Japan, Singapore, and India, aimed at expediting the region's transition to a clean economy.

Additionally, the initiative underscores Sembcorp's commitment to driving energy transition, leveraging its extensive renewables portfolio in India.