AM Green, SJVN sign 4.5 GW renewables deal for green ammonia facilities – pv magazine India

July 1, 2024 Uma Gupta

AM Green and SJVN Green Energy Ltd (SGEL), an arm of SJVN, have entered into a Memorandum of Understanding (MoU) for a long-term agreement for supply and sourcing of renewable energy.

Under the agreement, SJVN Green Energy will supply 4.5 GW of carbon-free energy to AM Green’s upcoming green ammonia facilities in India. It will set up this capacity through solar and wind power, while AM ​​Green will integrate it with pumped hydro storage to ensure a steady supply of green energy to AM Green facilities.

SJVN plans to execute the project in three phases, with the first phase delivering 1,500 MW within two years. This initiative is a major milestone for SJVN’s renewable energy expansion in India, supporting its goal of reaching 25,000 MW by 2030 and 50,000 MW by 2040.

AM Green, promoted by the founders of Greenko, targets to produce 5 million tons per annum (MTPA) of green ammonia by 2030, equivalent to about 1 MTPA of green hydrogen. This represents a fifth of India’s target for green hydrogen production under the country’s National Green Hydrogen Mission and 10% of Europe’s target for green hydrogen imports by 2030.

In October 2023, Gentari Sdn Bhd, through its wholly-owned subsidiary Gentari International Renewables Pte Ltd, signed an agreement with AM Green to jointly invest in phases in AM Green Ammonia Holdings BV (AMG Ammonia). Singapore’s sovereign wealth fund, GIC, is also an investor in AMG Ammonia.

AM Green has a strong pipeline of power offtake agreements, including NTPC Renewables and Gentari, to support its green hydrogen ambitions. With these agreements, AM Green is on a fast track for a final investment decision (FID) for its first 2 MTPA green ammonia project early this year, positioning itself ahead of other companies aiming for green ammonia capacity in India and globally.

AM Green, incorporated by the founders of Hyderabad-based Greenko Group, aims to become one of the most cost-competitive producers of green hydrogen, green ammonia, and other green molecules in the world. In India, AM Green is developing production capabilities for green molecules (green hydrogen, green ammonia, biofuels, e-methanol, sustainable aviation fuels and various downstream high-value chemicals) for decarbonization in hard-to-abate industries. The venture will also set up an international renewables and storage business and a JV for making electrolysers with John Cockerill of Belgium.

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