Yara Clean Ammonia (YCA), a division of Yara International ASA and the world’s largest ammonia distributor, and Oslo-based global ocean transportation provider Höegh Autoliners have agreed on a future supply deal for clean ammonia, Yara reported on Nov. 2.
The two companies signed a Letter of Intent (LOI) in May to partner around the supply, potential distribution, and delivery for consumption of clean ammonia for the Höegh Autoliners’ new Aurora-Class PCTC vessels. The 12 Aurora Class vessels will be the world’s largest and most environmentally friendly car carriers ever built, equipped to operate on zero-carbon ammonia and methanol, Yara said.
As part of the LOI, the companies will also consider the supply of blue ammonia, where up to 95% of the CO2 emissions are captured and permanently stored.
“This is exactly the type of collaboration that will accelerate a push towards net zero shipping in the deep-sea segment of the industry,” said Höegh Autoliners CEO of Andreas Enger. “For Höegh Autoliners, this represents another step towards full decarbonization of our customers’ supply chains, and we are pleased to collaborate with a strong Norwegian global player to meet this goal.”
Norway has set ambitious targets for cutting emissions from domestic shipping by 50% by 2030. In July this year, the International Maritime Organization (IMO) adopted a target of zero emissions for international shipping by 2050.