L&T Energy Greentech And ITOCHU Sign Long-Term Green Ammonia Supply Deal

Larsen & Toubro’s wholly owned subsidiary L&T Energy GreenTech Ltd has announced a major long-term partnership with ITOCHU Corporation to accelerate the global shift toward clean energy. The agreement, announced on April 22, 2026, focuses on the production and supply of green ammonia, which is emerging as an important fuel for decarbonizing industries such as shipping.

Under this agreement, LTEGL will supply 300,000 tonnes of green ammonia every year to ITOCHU on a long-term take-or-pay basis. The green ammonia will be produced at LTEGL’s upcoming facility in Kandla, which is being developed as a key export hub. This deal builds on the Joint Development Agreement signed between the two companies in July 2025 and marks a transition from planning to firm commercial execution.

The agreement was formally signed at ITOCHU’s headquarters in Tokyo. It was signed by Derek M. Shah, CEO and Managing Director of LTEGL, and Hiroyuki Tsubai, Executive Vice President of ITOCHU. Senior leaders including S. N. Subrahmanyan from L&T and Masahiro Okafuji from ITOCHU were also present during the signing ceremony.

ITOCHU plans to use the green ammonia from the Kandla project to expand its green bunkering operations. This is part of its strategy to build a global supply network for ammonia as a marine fuel. The supply will mainly support bunkering activities in Singapore, which is becoming an important center for low-carbon shipping fuels. The use of green ammonia is expected to reduce emissions in the maritime sector, which is under pressure to cut carbon output.

For L&T, the partnership supports its broader plan to scale up its green hydrogen and related products business. The Kandla project is aligned with National Green Hydrogen Mission, which aims to make India a major exporter of green fuels. Company officials said that securing long-term demand from a global partner like ITOCHU strengthens the financial and commercial viability of such projects.

ITOCHU also highlighted that having a stable and large-scale supply of green ammonia is necessary for the shipping industry to move toward cleaner fuels. The company believes this partnership will help expand its global bunkering business.

Both companies see this collaboration as an important step toward building a low-carbon future. While LTEGL will focus on production and supply, ITOCHU will use its global network to create demand and distribution, especially in the shipping sector.