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Keppel Infrastructure Holdings Pte Ltd (Keppel Infrastructure) and Greenko Group (Greenko), through their subsidiaries, have signed a Memorandum of Understanding (MOU) to jointly explore green ammonia and renewable energy opportunities to meet the growing demand for low carbon energy in India, Singapore and globally.
Witnessing the signing of the MOU was Singapore’s Minister for Trade and Industry, Mr Gan Kim Yong, as well as India’s Minister for Petroleum and Natural Gas Sri Hardeep Singh Puri, who joined the proceedings virtually. Joining them, were also His Excellency, Mr Periasamy Kumaran, High Commissioner of India to Singapore, CEO of Keppel Corporation, Mr Loh Chin Hua, CEO of Keppel Infrastructure, Ms Cindy Lim and Chief Executive, Managing Director and Founder of Greenko, Mr Anil Kumar Chalamalasetty, as well as President, Joint Managing Director and Founder of Greenko Group, Mr Mahesh Kolli.
The MOU will see Keppel Infrastructure collaborate with Greenko, one of India’s leading renewable energy companies, to explore the feasibility of jointly developing a production facility which can produce at least 250,000 tonnes of green ammonia per year. In addition, KI and Greenko will jointly identify and evaluate a portfolio of solar and wind energy projects, up to an installed capacity of approximately 1.3 GW, complemented by pumped hydro-storage, to power the green ammonia production facility. Green ammonia is made with green hydrogen that comes from water electrolysis powered by renewable power.
As more countries journey towards net zero emissions to fight climate change, there is a growing interest internationally to use green ammonia as a direct feedstock for carbon-free energy generation, because when it is used as a fuel, green ammonia does not generate any CO2. Green ammonia can also be used as a hydrogen carrier to provide green hydrogen solutions for hard to abate sectors like chemical and heavy industries. In addition, green ammonia may be used to replace bunker fuels to decarbonise the global maritime industry. The International Energy Agency recognised ammonia – along with hydrogen – as an important fuel for future electricity generation.
Ms Cindy Lim, CEO of Keppel Infrastructure, said, “Green ammonia, as a carbon-free fuel, and an energy storage medium, as well as a transportation vector for hydrogen, has the potential to play a pivotal role in the decarbonisation of the energy and heavy industry sectors. This MOU with Greenko further underlines Keppel’s strategy to be at the forefront of providing innovative, sustainable energy solutions to help the world combat climate change.
“As part of the Keppel Group, which offers solutions for sustainable urbanisation, Keppel Infrastructure possesses a strong track record of developing and operating large-scale infrastructure projects. We look forward to working closely with our eco-system partners as we pursue scalable opportunities across the green ammonia supply chain and the related infrastructure, from production to transportation and delivery, including bunkering. This is in line with Keppel’s Vision 2030, which places sustainability at the core of the Group’s strategy.”
The collaboration between KI and Greenko is set to support India’s goal to manufacture five million tonnes of green hydrogen per annum by 2030 and become a production and export hub for the fuel.
Commenting on the partnership, Anil Kumar Chalamalasetty, CEO and Managing Director at Greenko said, “As the global energy transition efforts leveraging green hydrogen and derivatives gain speed, we are committed to Hon’ble PM Shri Modi Ji’s vision of India’s leadership in combating climate change, establishing the country as a reliable, sustainable source of the lowest cost green molecules and to catalyse India’s and the world’s decarbonisation.
“The transformation of India from a carbon-based fossil energy importer to an exporter of renewable energy-derived products like green hydrogen, green ammonia, and other green molecules, is the cornerstone of Greenko’ s strategy for future growth. Along with Greenko’s Intelligent Renewable Energy Storage Platform (IRESP) and foray into electrolyser manufacturing, partnerships like these with Keppel are key enabling aspects in an accelerated execution of this vision.”
Keppel Corporation Limited, the parent company of Keppel Infrastructure, does not expect the abovementioned development to have any material impact on Keppel Corporation’s earnings per share and net tangible asset per share for the current financial year.