Nordic consortium makes the case for green ammonia-powered vessels

The Nordic Green Ammonia-Powered Ship (NoGAPS) consortium has released the results of its study for a green ammonia-powered 21,000 cu m gas carrier, transporting ammonia as a cargo in Northern Europe and using zero-emission ammonia as fuel.

Developed by the Global Maritime Forum and Fürstenberg Maritime Advisory, the NoGAPS project report demonstrates the potential of green ammonia-powered shipping to contribute to the decarbonisation of the maritime sector.

The report indicates that neither the technical considerations nor the associated regulatory approval for a green ammonia-powered vessel present major obstacles to putting the M/S NoGAPS on the water.

While the vessel will have the flexibility to run on a range of fuels, the proof of the overall concept requires that arrangements for green ammonia supply be in place once it is available. Partners in the project are developing green ammonia production capacity. If successful, this capacity could be operational and supply the M/S NoGAPS with green ammonia in 2026.

Using green ammonia as a fuel is both practical and feasible

For a newbuild vessel, the initial capex of an ammonia-powered first-of-a-kind project has been calculated to be around 25-30% higher than as for a standard vessel.

Due to the currently higher costs of green ammonia relative to conventional shipping fuels, the NoGAPS project report also outlines a number of measures and complimentary measures from governments that can strengthen the business case for green ammonia-powered shipping. 

It concluded that government support and public finance can both speed up the short-term timetable for investment in demonstration and improve the outlook for long-term deployment of green ammonia as a shipping fuel.

“Understanding the technologies and business models needed to deliver zero-emission shipping is key. The NoGAPS concept study examines the full value chain viability of powering ships with green ammonia. It finds that using green ammonia as a fuel is both practical and feasible. Focus should now be on measures that can strengthen the business case for zero-emission ammonia,” said Jesse Fahnestock, project director at the Global Maritime Forum.

The report has been made possible through collaboration with consortium project partners; BW Epic Kosan, Danish Ship Finance, DNB, DNV, MAN Energy Solutions, Wärtsilä, Yara International, and Ørsted with co-funding from Nordic Innovation.

Adis Ajdin

Adis is an experienced news reporter with a background in finance, media and education. He has written across the spectrum of offshore energy and ocean industries for many years and is a member of International Federation of Journalists. Previously he had written for Navingo media group titles including Offshore Energy, Subsea World News and Marine Energy.
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