Japanese conglomerate Marubeni Corporation has signed a partnership agreement with Norwegian shipping company Solvang to start the joint operation of an ammonia carrier as it steps up efforts to contribute to the global low-carbon ammonia value chain.
Under the partnership agreement, Marubeni and Solvang will jointly operate the 60,200 cubic meter (cbm) Clipper Neptun built by Hyundai Heavy Industries in 2008.
According to the partners, Solvang has a 10% share in the global volume of shipments and extensive knowledge and experience in ammonia seaborne transportation.
Through this project, Marubeni expects to deepen its knowledge of ammonia transportation and contribute to establishing a global low-carbon fuel ammonia value chain and global climate change mitigation measures in the medium to long term while contributing to the stable supply of ammonia around the world.
The Japanese company is also working on developing a low-carbon ammonia supply chain from Western Canada to Japan and other Asian markets with Canada’s Pembina Pipeline Corporation. The engineering design for the hydrogen and blue ammonia plant co-developed by Pembina Pipeline and Marubeni Corporation in Alberta, Canada, as part of this supply chain has already been completed .
The Japanese government anticipates that domestic demand for low-carbon fuel ammonia will reach 3 million tons in 2030 and 30 million tons in 2050, and has set a goal of establishing a domestic and overseas supply chain through Japanese companies of 100 million tons of ammonia by 2050, with the volume of ammonia seaborne transportation set to increase in the near future.
In line with this vision, Marubeni and its partners IHI Corporation, Hokkaido Electric Power, Hokkaido Mitsui Chemicals, Mitsui & Co., and Tomakomai Futo have started a joint study for the establishment of an ammonia supply chain based in the Tomakomai area of Hokkaido .