The Norwegian chemical company Yara has joined forces with the Singapore/Swiss multinational commodity trading company Trafigura to develop and promote the use of ammonia as a clean fuel in shipping, media ICIS reports.
Yara’s largest business area is the production of nitrogen fertilizer, but it also produces nitrates, ammonia, urea, and other nitrogen-based chemicals.
Under the memorandum of understanding (MoU) agreement, Yara and Trafigura also plan to “explore possible opportunities to work together on certain clean (green and blue) ammonia fuel infrastructure and market opportunities”, they said in a joint statement.
According to the statement, greenhouse gas emissions from the global maritime sector could rise by as much as 130 percent by 2050 compared with 2008 levels.
“There is a growing consensus that hydrogen-based fuels will ultimately be the shipping fuels of the future, but clear and comprehensive regulation is essential,” said Jose Maria Larocca, executive director and co-head of oil trading for Trafigura.