Consortium sets out to develop ammonia bunkering in Singapore by 2030

The Maritime Port Authority of Singapore (MPA) and Japanese shipping company Kawasaki Kisen Kaisha (K Line) are the latest entrants in a consortium that plans to develop infrastructure and a supply chain to facilitate ammonia bunkering in Singapore.

PHOTO: View of oil depot in Singapore with jetties in the background. Getty Images

The consortium also comprises members from the shipping, offshore, trading, classification society and consultant industries.

In March last year, it launched a joint feasibility study to assess how ship-to-ship bunkering of ammonia can be set up in Singapore. They have looked into technical, commercial and regulatory issues to gauge the viability of developing a supply chain network.

The group has identified potential ammonia supply sources, evaluated infrastructure and supply costs for infrastructure, and come up with some initial designs of ammonia storage tanks and bunker vessels.

The design of one of the bunker vessels has been approved by classification society American Bureau of Shipping.

According to the consortium’s initial analysis, there is currently only one ammonia storage tank available on Singapore’s Jurong Island which is used for other various downstream purposes. But it has been in touch with potential terminal operators on Jurong Island to develop ammonia storage tanks for bunkering.

Ammonia can be sourced from large production facilities planned to be built in Australia, it said.

Last year, global commodity trader Trafigura unveiled plans to develop an ammonia and hydrogen plant near Port Pirie in South Australia and aims to start the exporting green ammonia by 2025.

Maersk, a member of the consortium, will advise on ammonia demand assumptions. The MPA will provide views on regulation, standards and guidelines.

The consortium says it seeks partnerships with maritime industry players such as agents, and Singaporean authorities, to develop an ammonia supply chain in Singapore.