RWE Supply & Trading has entered into a long-term agreement with AM Green Ammonia B.V., a subsidiary of the AM Green Group, to source 250,000 tonnes of green ammonia per year. The ammonia will be supplied from it’s production facilities located in Kakinada and Tuticorin, India.
Initially, 50,000 tonnes will come from the Kakinada plant, with the remaining 200,000 tonnes to be produced at the Tuticorin facility. These facilities will be fully powered by renewable energy, including solar, wind, and hydroelectric power.
The ammonia produced will meet the European Union’s Renewable Fuels of Non-Biological Origin (RFNBO) standards, as outlined in the Renewable Energy Directive (RED III). AM Green Group President, Mahesh Kolli, expressed enthusiasm about the partnership: “Our collaboration with RWE will drive industrial transformation in many OECD economies. This agreement underlines our ability to innovate and adapt to global commodity trading standards. We remain committed to leading the clean energy transition with cost-effective solutions like green ammonia, hydrogen, and other sustainable chemicals.”
Deliveries are expected to commence by 2027, with a formal offtake agreement between RWE and AM Green detailing the contract terms. RWE’s Head of International Hydrogen Investments, Costas Papamantellos, emphasized the company’s commitment to sustainable energy: “This partnership with AM Green allows us to secure crucial green ammonia capacities early, as part of our broader strategy to invest in hydrogen and its low-carbon derivatives to support global industries in achieving their climate goals.”