Wartsila has partnered with Grieg Edge, an innovation hub of Norwegian shipping group Grieg Star, to build an ammonia-fuelled tanker.

Once built, it will be the world’s first green ammonia fuelled tanker producing no greenhouse gas emissions by 2024.

Called as MS Green Ammonia, this project is the result of a Nordic industrial collaboration group initiated by Zeeds (Zero Emission Energy Distribution at Sea).

With a €4.4m grant, the Norwegian funding scheme Pilot-E will support the project.

Grieg Edge head Nicolai Grieg said: “We regard the funding from Pilot-E as a valuable stamp of approval for our plans. Both Wartsila and we feel confident that this project represents the future for the maritime sector. To have the support from the Norwegian Research Council and Innovation Norway is a significant step towards completion.”

Norwegian Minister of Trade and Industry Iselin Nybø said: “This year’s grants show that the Norwegian maritime industry is really at the forefront of developing emission-free solutions with great export potential. This is another great example of how we create new green industry and growth in Norway.”

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By GlobalData

MS Green Ammonia will distribute green ammonia from a planned facility in Berlevåg, Norway to numerous sites and end-users along the coast.

Wartsila stated that the market and end-user interest will influence the eventual design, size, and volume of the vessel.

The project has already established letters of intent (LOI) with numerous industrial players.

Grieg Star Group chief business development officer Vidar Lundberg said: “We see a strong interest from owners of ferries, offshore supply ships, fishing vessels, and from energy-producing companies. In total, they require an amount of energy surpassing what we can achieve in this project. The market is there without a doubt.

“Norway, with its high number of vessels using LNG or alternative fuels, with high volumes of green energy, and the cheapest electrical power in Europe, is probably the perfect arena for the world’s first market for green ammonia.”

One of the prominent group of potential clients are ship owners operating LNG-fuelled vessels.

Based on the engine’s build, ammonia can be mixed with the LNG, or the engine can be easily retrofitted to enable use of only ammonia.

Wartsila Norway sales head Cato Esperø said: “We are in the midst of a transition to low carbon shipping, and the long traditions we have in Norway for cross industry cooperation is vital for the successful implementation of a new green value chain. Through fruitful collaboration with customers, Wartsila has been at the forefront of developing marine applications for LNG, hybrid systems, and fuel cells. We are excited to be contributing to this important demonstration project for green ammonia together with a forward leaning ship owner such as Grieg Edge, and the other collaborating partners.”

Norwegian  Minister of Climate and Environment Sveinung Rotevatn said: “The projects that now receive support through Pilot-E will make important contributions to the development of hydrogen and ammonia as alternative zero-emission fuels for various vessel categories.”