According to ammonia and nitrogen product manufacturer OCI NV, a growth in the demand for clean ammonia as a tool for decarbonisation initiatives and sustainable fuels could help boost the ammonia market over the medium term.
The company has recently increased its throughput capabilities at its ammonia import terminal in Rotterdam, allowing it to continue downstream production in Europe as well as combat volatility in feedstock prices by sourcing ammonia from the company’s operations at Fertiglobe and in the US.
With emerging demand for clean ammonia for applications across sectors including marine fuel and power, and as a hydrogen carrier, the company aims to become one of the largest producers of clean fuel and feedstock in the world.
What is a hydrogen carrier?
A carrier is a method of transporting hydrogen by storing the gas in another chemical state (hydriding) and then dehydriding it at the point of delivery. Ammonia is an advantageous carrier for hydrogen due to liquid ammonia having 1.5 times higher energy density than liquid hydrogen, making it easier to store and transport.
Ammonia and methanol are considered the most effective carriers for green hydrogen – a clean future fuel considered essential decarbonising industry, food, transport, and energy.
To support the global energy transition from fossil-based fuels to green hydrogen and other low-carbon alternatives, OCI NV has announced clean energy projects including a partnership with Masdar and ENGIE to study a green hydrogen facility of up to 200MW to supply Fertiglobe’s ammonia production plants in Abu Dhabi.
The company has also signed deals with ADQ and Alpha Dhabi Holding for a 15% stake in the OCI Methanol Group for $375m, which allows the Group (OCI) to pursue hydrogen-fuel related applications.