Commodities giant Trafigura has teamed up with Germany-based startup Hy2gen on a study aimed at quantifying the needs of the shipping industry for green ammonia as the industry transitions to low and
zero carbon maritime fuels.
The two companies have signed a memorandum of understanding for a study that will consider the necessary aspects to enable large-scale commercial adoption, including the required quantities of green ammonia, and the transport and storage capacities that will be needed.
Trafigura recognised the potential of Hy2gen for the industrial production of green hydrogen early on and has been an investor in Hy2gen since 2019.
“Hy2gen is a first mover and pioneer in green ammonia production and concept development. We very much recognise their capacity to quickly execute projects of scale that can fast track the transition for the shipping industry to run on clean fuels,” said Julien Rolland, head of power and renewables for Trafigura.
Last month, Trafigura also announced its partnership with Scandinavian fertiliser giant Yara International to collaborate on the development and promotion of the use of ammonia as a clean fuel in shipping. Hy2gen is looking to raise around $240m this year to launch the construction of six plants that will produce renewable aviation and marine fuels.