A three-party partnership has been established to explore the marketing and supply of low-carbon ammonia as a marine fuel to maritime end-users in Singapore.
Singapore-headquartered NYK Bulkship (Asia), a subsidiary of Japanese shipping major NYK, Singaporean bunker supplier Golden Island, and Yara Clean Ammonia Norge, a subsidiary of Norwegian fertilizer company Yara International, have concluded a non-binding term sheet that paves the way towards the partnership, said to represent a major step in enabling ammonia as a zero-or-near-zero-emission (ZNZ) marine fuel, in line with Singapore’s ambitions to support the shipping community in meeting decarbonization targets.
“NYK group operates a fleet of more than 900 vessels and recognizes the transition to ZNZ marine fuels as a critical step towards achieving net-zero emissions by 2050. With its potential to significantly reduce greenhouse gas emissions, ammonia is expected to play an important role in the future marine fuel mix,” said Atsuya Nojiri , Managing Director of NYK Bulkship (Asia).
“NYK group’s primary objective is to safely establish the infrastructure required to accelerate the adoption and scaling of ammonia-fueled vessels, while taking a leading role through collaboration with experienced industry partners.”
The partnership will see the combination of NYK Line’s expertise gained through LNG bunkering operations and its operational and technical experience with ammonia carriers and ammonia-fueled vessel projects, Golden Island’s 40-year experience in Singapore’s bunkering industry, and Yara Clean Ammonia’s expertise in ammonia production and handling.
The three companies began discussions at the beginning of 2024 to explore the launch of this business, aiming to begin operations within this decade.
“This partnership marks an important milestone in realizing our vision of a low-emission ammonia supply chain for new markets. Together with NYK Line and Golden Island, we are developing a last-mile ecosystem that will make low-emission ammonia bunkering available safely and reliably at one of the world’s most critical maritime hubs. Singapore’s leadership in maritime decarbonization makes it a natural starting point for scaling ammonia bunkering globally,” said Murali Srinivasan , SVP Commercial at Yara Clean Ammonia.