Sumitomo Corporation and Keppel FELS, a wholly-owned subsidiary of Keppel Offshore & Marine Ltd have signed a Memorandum of Understanding to explore the feasibility and implementation of various ammonia fuel applications in Singapore.
Ammonia, a compound of hydrogen and nitrogen, emits no carbon dioxide when combusted, and therefore has long been considered as a next-generation fuel for thermal power generation and large ocean-going vessels. Ammonia is also expected to play a role as an energy carrier for hydrogen since it is easier to liquefy and transport than hydrogen.
Through this MoU, Sumitomo Corporation and Keppel O&M will work on the implementation of ammonia bunkering in Singapore, to commence commercial operations in the mid-2020s. Sumitomo Corporation and Keppel O&M will accelerate the development of an ammonia bunkering vessel in coordination with the relevant authorities, expediting the implementation of ammonia bunkering in Singapore and contributing to the realization of zero-carbon shipping. Sumitomo Corporation and Keppel O&M will also work to expand the ammonia value chain in Singapore.
As Singapore aspires to reduce energy consumption, improve energy efficiency and transition its power generation portfolio towards net-zero emissions, limited land space remains one of the critical challenges in the implementation of large-scale green energy. One of the solutions that Sumitomo Corporation and Keppel O&M will be exploring is the use of green energy such as ammonia for offshore power generation in Singapore.