The Green Ammonia Boom Is Coming

by Felicity Bradstock (OilPrice.com) • Green ammonia is emerging as a major contender to become a vital emissions-free fuel for the world. • The renewable fuel is also gaining major attention from energy giants such as Exxon. • Greater investment in the energy source could support innovations in technologies to reduce production costs as well as support countries in meeting their climate targets.

It has around nine times the energy of lithium-ion batteries and its denser nature makes it easier to transport than liquid hydrogen. As oil majors race to find innovative renewable energy alternatives, green ammonia is gaining more international attention for its potential as an emissions-free fuel. Despite being little-talked-about compared to hydrogen, ammonia is catching the eyes of energy firms worldwide for its potential as a clean fuel. Ammonia is a compound of hydrogen and nitrogen that can be used as fuel. Just like hydrogen, there are several different types of ammonia, depending on the energy used for its production.

Green ammonia is becoming the most preferable form of the fuel as it is carbon-free, whereas one tonne of conventional (brown) ammonia emits around two tonnes of CO2. It is produced using wind, solar, or hydropower to provide electricity which runs an electrolyzer that in turn extracts hydrogen from water as nitrogen is separated from air using an air separation unit. Why the production of green ammonia is not new, recent innovations in technology have made it easier to produce, making energy firms more prone to invest in the energy source.

One of the industries considering the use of ammonia to decarbonize is the maritime sector, which could use the fuel to help meet its climate targets. It could also be used as a means of storing renewable energy for delayed use, as well as transported to be cracked for its hydrogen content.

Experts believe that green ammonia could be key to the success of the European Commission’s REPowerEU strategy, which aims at 20 million tonnes of renewable hydrogen.

In Ireland, two groups – the Killybegs Fisherman’s organization and Sinbad Marine Services – are recommending the construction of a floating offshore wind farm to power green ammonia and hydrogen production. They recently signed a memorandum of understanding (MoU) with Swedish wind energy company Hexicon for a 2 GW development, which would power renewable fuel operations, to be used in marine vessels, with excess power going to the local grid. The engagement of fishermen in the project is expected to help get the project off the ground with little pushback from the local community.

Meanwhile, in Norway, ExxonMobil, Grieg Edge, North Ammonia, and GreenH have signed an MoU to conduct studies for the potential production and distribution of green hydrogen and ammonia as marine fuels. READ MORE