RWE and AMG Sign Deal for Annually Green Ammonia Supply from India

RWE Supply & Trading has announced a Memorandum of Understanding (MoU) with AM Green Ammonia B.V. (AMG) to secure a long-term supply of green ammonia from its Indian production facilities. The agreement specifies the delivery of up to 250,000 tonnes of green ammonia annually. This ammonia will be produced at AMG's plants in Kakinada and Tuticorin, India. Initially, the Kakinada facility will contribute 50,000 tonnes, with the remaining 200,000 tonnes coming from the Tuticorin plant.

AMG, a unit of the AM Green Group, will power its ammonia production entirely with renewable energy, including solar, wind, and hydroelectric sources. The ammonia produced will adhere to the EU’s Renewable Fuels of Non-Biological Origin (RFNBO) standards as set out in the Renewable Energy Directive (RED III), with the Kakinada facility already pre-certified for RFNBO compliance. Certification for the Tuticorin site is in progress.

Green ammonia deliveries are anticipated to commence by 2027, with a detailed offtake agreement to follow between RWE and AMG.

Costas Papamantellos, Head of International Hydrogen Investments at RWE Supply & Trading, highlighted the company's commitment to investing in hydrogen and its low-carbon derivatives to support industries in meeting their climate targets. He emphasized that partnering with AMG allows RWE to secure green ammonia supplies at an early stage, strengthening its global supply chains.

Mahesh Kolli, Group President of AM Green, expressed enthusiasm about the partnership with RWE, noting that it supports the transformation of various industries and economies. He pointed out that the agreement reflects AM Green's innovative and flexible contracting approach, aligned with commodity trading practices. Kolli also underscored AM Green's dedication to continuous innovation and execution, reinforcing its leadership in providing low-cost green molecules such as hydrogen, ammonia, and other clean energy solutions.

RWE Supply & Trading serves as the crucial link between RWE and global energy markets. With a workforce of around 2,000 employees from over 70 countries, the company is actively engaged in trading electricity, gas, commodities, and CO2 emission allowances. By leveraging precise market analyses and a strong customer focus, RWE Supply & Trading crafts innovative energy supply solutions and risk management strategies for industrial operations. The entity also manages the commercial optimization of RWE's power plant dispatch and markets the company's electricity. Additionally, it oversees the independent RWE gas storage business in Germany. RWE Supply & Trading is positioning itself as a major player in the global hydrogen sector, concentrating on both green and blue hydrogen and their derivatives, such as ammonia. The company’s global strategy includes investing across the entire hydrogen value chain, developing a diverse portfolio of projects, and securing long-term offtake agreements, with a particular focus on importing green molecules into Northwest Europe.