Homegrown renewable energy company ACME has finalised a long-term agreement with the Norwegian firm Yara, which specialises in crop nutrition and is a global leader in ammonia trade and shipping.
This agreement is the culmination of 18 months of negotiations and will see ACME supplying Yara with 100,000 tonnes per annum of renewable ammonia. This ammonia will be produced at ACME’s plant in Oman, leveraging the country’s favourable conditions for renewable energy.
Magnus Ankarstrand, President of Yara Clean Ammonia, stated in a company release, “The renewable ammonia from Oman will be part of our scalable distribution system… This agreement demonstrates the power of partnerships and collaboration to develop value chains that reduce emissions.”
The renewable ammonia project is expected to have a significant impact on global greenhouse gas emissions, reducing them by up to 5.0 million tons of CO2 equivalents over its life cycle. This aligns with global efforts to combat climate change and transition towards more sustainable energy sources.
Ashwani Dudeja, Director of the ACME Group, added, “We are pleased to have concluded the deal with YARA… This agreement is only a start and will facilitate further cooperation between the two companies while playing a vital role in accelerating the adoption of green hydrogen and its derivatives.”
ACME is leading the construction of the green ammonia project in Oman, which has a planned capacity of 900,000 tonnes per annum. This project will be developed in phases, demonstrating ACME’s commitment to scaling up renewable energy production.
On the other hand, Yara, with its expertise in global ammonia production, logistics, and trade, is actively expanding the market for renewable ammonia.
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