Focusing on ammonia as one of the next-generation eco-friendly energy sources, South Korean shipbuilder Hyundai Heavy Industries Group (HHI) has joined forces with Korea National Oil Corporation (KNOC) to develop an ammonia floating storage and regasification unit (FSRU).
Ammonia FSRU is a ship that stores liquefied ammonia transported from the production area, regasifies it, and supplies it to customers on land.
Expecting ammonia FSRU construction to occupy the market amid growing demand for this resource, HHI recently signed a joint development agreement with Korea Shipbuilding & Offshore Engineering (KSOE), Korea National Oil Corporation and Lloyd’s Register.
Under the agreement, HHI will develop a regasification system and carry out a basic design of ammonia FSRU. Lloyd’s Register will review and approve the design.
In addition, HHI said it received the domestic clean ammonia acquisition and storage infrastructure project promoted by Korea National Oil Corporation.
“This joint development of ammonia FSRU is significant in that it is a preparation for leading technology in the future eco-friendly energy field” , said Jeon Seung-ho , Head of Technology Divison at Hyundai Heavy Industries.
Ammonia has also been receiving attention as a carrier for storing and transporting hydrogen as it combines hydrogen and nitrogen. Its liquefaction temperature is -33 degrees Celsius, much higher than the liquefaction temperature of hydrogen (-253 degrees Celsius), which makes it suitable for long-distance transportation and storage.
Ammonia is also one of the main alternative fuel options currently considered by shipping for net-zero operations, in line with the targets set up by the International Maritime Organization (IMO) to reduce greenhouse gas (GHG) emissions in the maritime sector by 2030 and 2050.
The International Energy Agency (IEA) predicted that ammonia will account for around 45% of global energy demand for shipping in 2050.
With this in mind, classification society ABS granted approval in principle (AiP) to HHI and Hyundai Mipo Dockyard (HMD) for the concept design of two ammonia-fueled liquefied petroleum gas (LPG) carriers.
In September 2021, HHI and KSOE received AiP from the classification society Bureau Veritas (BV) for the design and development of an ammonia carrier with ammonia-fueled propulsion .
HHI also teamed up with shipping company Euronav, classification societies Lloyd’s Register and DNV on a joint development project focused on ammonia-fueled tankers.