Singapore-based Sembcorp Industries has commenced work on a green ammonia project in Tuticorin, Tamil Nadu. The company intends to export 200,000 MTPA green ammonia to Japan in the first phase.

The company has started front-end engineering and design work for the plant.

The project has the involvement of India, Singapore, and Japan.

A heads-of-terms agreement was signed between Sembcorp Green Hydrogen, Kyushu Electric Power, Sojitz Corporation, and Nippon Yusen Kabushiki Kaisha to facilitate a cross-border green ammonia offtake from India to Japan. Union Minister for New and Renewable Energy Pralhad Joshi chaired the agreement signing ceremony.

Sembcorp will lead the production of green ammonia in India, utilizing renewable energy sources. Kyushu Electric Power will integrate green ammonia into its energy mix, partially replacing coal consumption at their thermal power plants in Japan. Sojitz Corporation will act as the business intermediary, facilitating the connection between the ammonia producer and the off-taker. NYK Line will oversee the maritime transportation of green ammonia from India to Japan.

Vipul Tuli, CEO, Hydrogen Business, Sembcorp Industries, said, “With its renewable resources and investor-friendly policies, Tamil Nadu is a frontrunner state in realizing India’s green hydrogen ambitions. Sembcorp is honored to be part of this historic moment, as the efforts of India, Japan, and Singapore come together in Tamil Nadu to make a mark on the global green hydrogen industry.”

Deputy Managing Director of Enterprise Singapore Tan Soon Kimx said, “This marks a significant milestone in the collaboration between Singapore and India to advance the development of green energies. It highlights the role that Singapore companies with deep expertise can play in partnering with India along its economic development journey. With Japan as the end market, this project also showcases the bridging role that Singapore companies can offer in 3rd country collaboration. We congratulate Sembcorp on this latest achievement.”

Sembcorp was among the bidders for Solar Energy Corporation of India’s tender to set up 450,000 MTPA production facilities for green hydrogen and 1.5 GW of electrolyzer manufacturing capacities.

In February, Green Infra Wind Energy, a wholly owned subsidiary of Sembcorp Industries, won SJVN’s auction to develop 1.5 GW Inter-State Transmission system -connected wind-solar hybrid power projects.