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Iberdrola and Trammo Unite for the Largest EU Agreement for the Export of Green Ammonia
Iberdrola and Trammo Unite for the Largest EU Agreement for the Export of Green Ammonia

Iberdrola and Trammo Unite for the Largest EU Agreement for the Export of Green Ammonia

  • 12-Jun-2023 11:41 AM
  • Journalist: Jacob Kutchner

Europe: The largest green Ammonia framework agreement in Europe was signed by Trammo, the largest seaborne anhydrous Ammonia dealer in the world, and Iberdrola, a global pioneer in green energy. Date for the beginning of the annual acquisition and sale of up to 100,000 tonnes of green Ammonia in 2026.

With the help of European finance and a total expenditure of 750 million euros, the deal will allow Iberdrola to build the first green Ammonia factory in southern Europe. This first project solidifies the company's global growth strategy in green Hydrogen and its derivatives. In addition to other markets, Iberdrola is now constructing green Methanol and Ammonia factories in Europe, the US, Australia, and other regions.

Up to 3,500 jobs, the most of which would go to local workers, will be created by the plant's construction. Additionally, the project will add more than 50 employments throughout its operations and maintenance phase.

Given that green Ammonia satisfies all the requirements of the EU's Delegated Act, the green Ammonia plant will be backed by the development of 500 MW of new renewable energy. It will also help to open chances for innovation and industry in a developing market with a significant export component.

In order to aid in the decarbonization of northern European industry, Trammo will buy and sell the green Ammonia produced at the facility.

The goal of this initiative is to launch the green Hydrogen corridor throughout Europe. The energy-intensive heavy industries of southern Europe, like those in the Netherlands, Germany, and France, can be decarbonized thanks to the region's enormous renewable energy potential.

Innovative initiatives like this can soon become financially viable when you combine one of the world's leading producers of renewable energy and the largest trader of anhydrous Ammonia by sea. According to Millan Garca-Tola, global head of green Hydrogen at Iberdrola, we have been operating Europe's largest green Hydrogen plant for the past year, giving us the experience, and understanding of the processes and technology to scale-up fast to these larger projects.

In the upcoming years, chances to reduce industrial emissions through the supply of green Ammonia present themselves, and Iberdrola intends to be at the forefront of this market by delivering on genuine projects to create a more sustainable production chain and meet decarbonization targets. To look at initiatives in other markets, we have already begun discussions with Trammo, according to Garcia-Tola.

Green Ammonia can be used to decarbonize current processes in the chemical and fertiliser sectors, among other things. In addition, a sizable market expansion is anticipated for new applications of this substance, like as a maritime fuel or as a carrier for green Hydrogen. Compared to the procedures necessary in a grey Ammonia plant, green Hydrogen uses more than 40% less water.

With 40 GW deployed globally and the goal of doubling its present portfolio to 80 GW by 2030, Iberdrola is a global leader in renewable energy. By having three plants operational by 2023 and installing Europe's largest electrolyzer (20 MW) at its Puertollano plant in Spain, the firm established itself as a pioneer in the generation of environmentally friendly Hydrogen.

In addition to green methanol and green Ammonia in places like Iberia, the US, and Australia, Iberdrola is building more than 60 Hydrogen projects throughout 8 nations.

Trammo is actively participating in the transition to decarbonize the industry sector, contributing to the availability of sizable volumes of green Ammonia on the market by 2035 as the largest seaborne trader in the world with a global position lead in the commercialization and distribution of anhydrous Ammonia since 1965.

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