RWE Supply & Trading, a Germany-headquartered energy trading and energy related financial services company, has signed a Memorandum of Understanding (MoU) with AM Green Ammonia (AMG) for the long-term supply of green ammonia from AMG plants based in India. Under the agreement, AMG will supply up to 250,000 tonnes of green ammonia per year. The ammonia will be sourced from AMG’s production sites in Kakinada and Tuticorin, India.
Initially, 50,000 tonnes of green ammonia will be produced at the Kakinada site, with the remaining volume of up to 200,000 tonnes to be sourced from the Tuticorin facility.
AMG is a subsidiary of the AM Green Group, set up by the founders of Hyderabad-based Greenko Group.
“AMG’s ammonia manufacturing facilities will be powered entirely by carbon-free energy sources such as solar, wind, and hydroelectric power. The produced ammonia will meet EU standards for Renewable Fuels of Non-Biological Origin (RFNBO) as defined in the Renewable Energy Directive (RED III). AMG’s facility in Kakinada has already been pre-certified for RFNBO compliance. Pre-certification for other facilities is underway,” stated AMG.
Deliveries of green ammonia from AMG’s sites are expected to start by 2027. A subsequent offtake agreement between RWE and AMG will detail the contractual provisions.
Costas Papamantellos, Head of International Hydrogen Investments at RWE Supply & Trading:” RWE is committed to investing in hydrogen and its low-carbon derivatives to help industries achieve their climate goals. For this end, we are building strong supply chains with partners globally. Partnering with AMG allows us to secure green ammonia capacities at an early stage.”
AM Green is developing production capabilities for green molecules (green hydrogen, green ammonia, biofuels, e-methanol, sustainable aviation fuels and various downstream high value chemicals) for decarbonization in hard-to-abate industries. The venture will also set up an international renewables and storage business and a JV for making electrolyzers with John Cockerill of Belgium.
Mahesh Kolli, group president of AM Green, said, “This agreement with [RWE Supply & Trading] emphasizes AM Green’s ability to align itself with an innovative and flexible contracting structure in line with commodity trading practices. Continuous focus on innovation combined with execution reinforces AM Green’s leadership position as a global clean energy transition solutions platform for low-cost green molecules such as hydrogen, ammonia, fuels and other chemicals.”
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.
Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.
You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.
Further information on data privacy can be found in our Data Protection Policy.