Japanese firms to start ammonia bunkering in May

  • : Fertilizers, Hydrogen
  • 24/04/10

A Japanese cross-industry group has moved forward with an ammonia bunkering project for a tugboat, with the first fuelling scheduled at Yokohama port in late May.

The group, which includes power producer Jera, shipping firm NYK Line and its subsidiary Shin-Nippon Kaiyosha, ammonia producer Resonac and engineering firm Tokyo Power Technology, has jointly studied the possible setting up of ammonia bunkering for a tugboat since December 2023.

Jera is to buy an unspecified type of ammonia from Resonac through Tokyo Power Technology and supply it to NYK and Shin-Nippon Kaiyosha.

Jera said on 10 April it will supply the marine ammonia to NYK in late May to fuel the NYK-owned tugboat A-Tug, which will be in service at Yokohama port. The ammonia will be transported by a tanker truck and supplied by truck-to-ship operations.

A-Tug is scheduled to be officially commissioned in June. Jera after starting normal operations plans to supply the marine ammonia to Shin-Nippon Kaiyosha, which will be in charge of operating the tugboat. The planned ammonia consumption of the tugboat was undisclosed, although the bunkering is scheduled to be done twice a month.

Jera has geared up efforts to utilise fuel ammonia for power generation to substitute it for coal. Demonstration of co-firing ammonia and coal at its 1GW Hekinan No.4 coal-fired genereation unit achieved a 20pc mixture on 10 April after the test burning began on 1 April, it said.


Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

24/05/16

Australia’s IPL fertiliser sale process 'advanced'

Australia’s IPL fertiliser sale process 'advanced'

Singapore, 16 May (Argus) — Australian chemicals and fertilizer producer Incitec Pivot (IPL) said the sale of its fertilizer business, first proposed last year, is now in "advanced negotiations". The potential sale of Incitec Pivot Fertilizers (IPF) to Indonesian producer Pupuk Kalimantan Timur (PKT) is subject to agreeing and executing final binding transaction documents, although there is no certainty that any deal will be reached or that any sale will occur, IPL said its financial report for its October 2023-March 2024 half year on 16 May. While IPL considering the sale of its fertilizer unit first emerged in July 2023, it was unclear who the interested buyers were. PKT is a subsidiary of state-owned fertilizer group Pupuk Indonesia Holdings and has production capacity of 2.74mn t/yr of ammonia, 3.43mn t/yr of urea and 300,000 t/yr of NPKs. Should the deal eventuate, the Indonesian producer intends to continue supplying fertilizers to Australia, support the retention of IPF's workforce and grow IPF's business in Australia, PKT confirmed to IPL. IPL reported a 77pc year-on-year fall in its first-half earnings before interest and tax (ebit) to A$10mn ($6.7mn). This was mainly attributed to the closure of Gibson Island that was producing ammonia, urea, granular ammonium sulphate and diesel exhaust fluid AdBlue, as well as reduced manufacturing performance at Phosphate Hill in Queensland with a capacity of 1mn t/yr of DAP, MAP and specialty products. But its distribution business was supported by firm demand and a well-managed fertilizer supply chain with its first-half ebit more than doubling from a year earlier to A$27mn, which partially offset a weaker manufacturing performance. By Huijun Yao Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Brazilian governors back renewable H2 support bill


24/05/15
24/05/15

Brazilian governors back renewable H2 support bill

Rotterdam, 15 May (Argus) — A group comprising the governments of nine states in northeast Brazil has endorsed the latest amendments filed in the country's hydrogen bill, which envisage generous tax credits and financial incentives for renewable hydrogen production and demand. Governors from the nine states have joined calls by the Brazilian green hydrogen industry association ABHIV to push the national government to embrace the suggestions, recently filed by senator Otto Alencar. The consortium, which is an instrument for "political, judicial and economic" integration of the states that make up the northeast region, is urging more support from federal government at the World Hydrogen Summit in Rotterdam. The current pipeline of planned projects in the northeast would amount to approximately 12mn t/yr of renewable hydrogen production, and "if only 10pc of these projects materialise, it would already place us in a global leadership position," Piaui's governor and consortium representative Rafael Fonteles said. The proposals in the bill resemble incentives that were given to other energy sectors such as ethanol and biodiesel to make alternative sources more competitive, ABHIV director Fernanda Delgado said. "Brazil knows how to do these policies, this is not new". The amendments are currently being discussed by the senate. ABHIV expects some pushback from the finance ministry regarding the tax credits, mainly regarding the 20-year offer, Delgado told Argus , but the initial proposal has left some room for negotiation and even a more modest version will already help the industry, she said. The current proposal envisions tax credits to up to 15GW of electrolyser capacity in the country, with up to 6.58 Brazilian reais ($1.27) per kg for production and 8.55 reais/kg for domestic consumers. While the northeast of Brazil offers competitive renewables generation and available land, these factors alone are "not enough" because "competition is worldwide," according to the head of Latin America at French renewables firm Voltalia, Robert Klein. The first molecules will be the most expensive ones and the tax cashback will help make them more competitive and projects reach gigawatt scale, Klein said. Momentum has accelerated for Brazilian renewable hydrogen projects, although almost all are at a very early stage. During the event, Brazilian utility Eletrobras signed an agreement to support European group Green Energy Park's planned renewable hydrogen and ammonia production in Piaui with electricity transmission infrastructure. By Pamela Machado Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

More Egyptian urea sold at $286/t fob for June loading


24/05/14
24/05/14

More Egyptian urea sold at $286/t fob for June loading

Amsterdam, 14 May (Argus) — Egyptian fertilizer producer Mopco has sold a further 25,000t of granular urea at $286/t fob for loading next month to a European market. The producer is now targeting $290/t fob. The deal follows business which emerged at a similar level today, with Mopco selling a total of 20,000t at $286/t fob to two trading firms, while fellow producer Alexfert sold 5,000t of granular urea at $287/t fob for June loading. Trading firms covering short sales across mainland Europe and Turkey have been driving these latest deals out of Egypt, with purchases taking place earlier in the week in the lower $280s/t fob. By Harry Minihan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

India's RCF seeks key NPS and NPK grades


24/05/14
24/05/14

India's RCF seeks key NPS and NPK grades

London, 14 May (Argus) — Indian fertilizer importer RCF has issued a tender to buy 50,000t each of 20-20-0+13S and 10-26-26, plus or minus 10pc of the respective quantities. The tender is to close on 16 May, and offers must be valid to 22 May. The tender, which requests loading by 20 June, is open only to suppliers with which RCF has long-term agreements. The minimum offer quantity is 25,000t, plus or minus 10pc. Potential suppliers can offer either or both products. RCF late last month floated a tender to buy two 50,000t lots of 20-20-0+13S. It received one offer — of 50,000t from a trading firm — at $362/t cfr duty unpaid. But the offer was around $17/t higher than the price at which Saudi producer Ma'aden recently sold the grade to another Indian importer, and RCF scrapped its tender. RCF has not received a cargo of key NPK grade 10-26-26 since early November 2023, Argus data show. By David Maher Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Phosphates: Brazilian MAP imports recover in April


24/05/14
24/05/14

Phosphates: Brazilian MAP imports recover in April

London, 14 May (Argus) — Brazil's MAP imports in April reached their highest level so far this year, buoyed by plentiful supply from Russia and demand ramping up ahead of the main season. Brazil imported 378,147t of MAP in April, of which Russia accounted for nearly 260,000t, Morocco 67,000t and Saudi Arabia 51,500t. Year-to-date imports for the January to April period reached 1.025mn t, of which Russia accounted for 76pc, Morocco 15pc and Saudi Arabia 6pc. The main changes compared with 2023 are the nearly 600,000t fall in total MAP imports compared to last year. Russia has actually raised its market share from nearly 52pc last year to 76pc. Otherwise, Moroccan MAP exports fell from nearly 500,000t in 2023 to 158,000t, while US exports fell nearly 120,000t year-on-year. Saudi MAP exports almost halved from 109,000t in the first four months of 2023. Chinese MAP exports fell from over 37,000t in 2023 to just 9,000t in 2024. Several reasons explain the changes. Overall imports are down on an exceptionally high first four months of 2023. Average imports for the last five years were around 1.15mn t, imports for 2024 are on par. Moroccan producer OCP concentrated more on DAP shipments to India east of Suez as well as MAP shipments to Australia. High domestic prices in the US cut export availability and pulled in non-Russian and non-Moroccan cargoes from other markets. Saudi producers also concentrated more on DAP markets in India with Chinese phosphate supply out of play. Chinese producers concentrated more on the domestic market and faced customs inspections, which limited export availability for phosphates. By Mike Nash Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more