Japanese trading company ITOCHU Corporation has entered into a joint development agreement with compatriot TORAY Industries and Uyeno Transtech for an ammonia bunkering hub.
Under the agreement, the parties intend to jointly study and confirm safe operation and necessary facilities for ammonia bunkering, obtain relevant permits from Japanese authorities, and examine the commercial terms and conditions for establishing ammonia bunkering hubs in Japan.
ITOCHU’s initiative comes amid growing interest in ammonia as an alternative marine fuel as regulatory requirements tighten, and the company believes that the establishment of an ammonia bunkering hub will strengthen relationships between the marine industry and the fuel industry.
ITOCHU also intends to hold discussions with relevant companies with an aim to expand a stable supply chain for the ammonia bunkering hub in Japan.
As part of an integrated project, ITOCHU placed a new building order with a domestic shipyard for an ammonia bunkering vessel in June of this year.
After demonstrating ammonia bunkering using this vessel in Singapore, the company plans to develop the ammonia bunkering business in Singapore.
At the same time, the Japanese trading company plans to study the development of the ammonia supply chain as marine fuel to Japan with low environmental impact based on LCA, to grasp the initial demand for ammonia bunkering in Japan, with possible relocation of this vessel to Japan.