Yara and NYK sign deal for ammonia-fuelled gas carrier

The 40,000m³ vessel is scheduled for delivery in November 2026 and represents a crucial step in reducing greenhouse gas emissions from shipping while supporting the growing demand for ammonia in power generation and as a marine fuel.

The vessel, which will sail under the Japanese flag, is the result of a collaborative study initiated in 2021 between Yara Clean Ammonia, a subsidiary of the world’s largest ammonia distributor, and NYK. The agreement underscores a shared commitment to developing sustainable shipping solutions and advancing the commercial viability of ammonia as a zero-carbon fuel.

Murali Srinivasan, senior vice president commercial at Yara Clean Ammonia, highlighted the significance of the partnership, stating: “Our successful collaboration with NYK enables us not only to comply with future regulations related to CO₂ emissions from sea-going vessels but also helps us to ensure that our customers can receive carbon-intensity compliant clean ammonia throughout our supply chain from well to wake.”

The initiative aligns with NYK’s long-term decarbonisation strategy. Hironobu Watanabe, Managing Executive Officer at NYK, noted that the company’s ‘NYK Group Decarbonisation Story’, released in November 2023, sets a target of net-zero GHG emissions by 2050. “We have been developing an ammonia-fuelled vessel because we believe that using alternative fuels, especially ammonia, is essential to reaching the net-zero goal,” he said.

The AFMGC is designed with an overall length of 180.00 metres, a breadth of 32.00 metres, and a moulded depth of 18.45 metres, reflecting the most common specifications for international maritime ammonia transport. The vessel’s design incorporates advanced technologies to optimise fuel efficiency and reduce emissions, making it a benchmark in sustainable shipping.

Csaba Laszlo, vice president ammonia trade & shipping at Yara Clean Ammonia, emphasised the operational benefits of the new vessel: “This charter party will give us great flexibility to manage carbon emissions and product carbon intensity. I look forward to a successful cooperation in operating this new technology to its best efficiency.”

Beyond this specific contract, Yara Clean Ammonia and NYK are committed to expanding a comprehensive ammonia supply chain to support the maritime industry’s transition to cleaner fuels. The adoption of ammonia as a marine fuel aligns with the International Maritime Organization’s (IMO) ambitious decarbonisation targets, which include a 40% reduction in carbon intensity by 2030 and net-zero emissions by 2050.