North Ammonia Moves Ahead with Green Ammonia Plant at Fjord Base
North Ammonia Moves Ahead with Green Ammonia Plant at Fjord Base

North Ammonia Moves Ahead with Green Ammonia Plant at Fjord Base

  • 25-Dec-2024 12:30 AM
  • Journalist: Thomas Jefferson

Norwegian green energy provider North Ammonia has entered into a partnership with Fjord Base Holding to develop a green ammonia production facility at Fjord Base in Florø. This collaboration is an extension of a letter of intent (LoI) signed in 2022, with both parties committed to working together on the establishment of the green ammonia production facility. Their focus will be on addressing essential elements such as infrastructure, grid connection, permitting, and early-phase project development for the facility, with the aim of creating a sustainable and efficient production hub for green ammonia at Fjord Base.

Earlier this year, the project was evaluated by power system operators Linja and Statnett, who assessed the project’s maturity. The favorable evaluation has now placed the project in the queue for grid capacity reservation, marking an important step forward in the project’s development. According to Mikkel Tørud, CEO of North Ammonia, the location at Fjord Base is highly suitable for the production of green ammonia, given the existing industrial areas, robust infrastructure, and the high level of maritime activity in the region. Tørud also pointed out the growing market for green ammonia, which is expected to expand significantly due to stricter emissions regulations in the coming years. With an increasing emphasis on reducing emissions, particularly in the maritime sector, the demand for zero-emission fuels is expected to surge starting from 2030. As a result, Tørud emphasized the need for further development of the regional grid to support the establishment of new and sustainable industries, ensuring that the area is well-positioned to meet the future demands of the green energy market.

In his comments, Ole Schanke Eikum, CEO of Fjord Base Gruppen, underscored the strategic importance of the green ammonia production project for the region. Eikum highlighted Fjord Base’s significant maritime activity, noting that the ability to produce locally sourced green fuels for shipping would enhance the company’s position as a key maritime hub. The development is expected to generate positive local economic impacts, particularly in terms of job creation, as the project progresses. Eikum further elaborated that the production of green ammonia would serve as a foundation for the creation of circular economy value chains in the region, which would play a pivotal role in strengthening Fjord Base’s status as a leading industrial cluster in Norway’s green transition.

Fjord Base is also home to another exciting green energy initiative. HyFuel, a green hydrogen producer, is developing a 20 MW electrolyzer capacity at the location, aimed at supplying sustainable hydrogen for the maritime industry. This green hydrogen project is part of the ENOVA program “Hydrogen Production for Maritime Transport 2027,” which aims to accelerate the adoption of hydrogen as a fuel source in the maritime sector. These developments position Fjord Base as a key player in the green energy transition, particularly for the maritime industry, where the demand for alternative fuels is increasing.

As the green ammonia and hydrogen projects continue to evolve, Fjord Base is set to play a central role in Norway's green energy future, contributing to the nation's commitment to sustainability and the reduction of carbon emissions across industries.

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