ACME Group and IHI Corporation Forge Landmark Agreement for Green Ammonia Supply from Odisha to Japan

New Delhi: In a groundbreaking collaboration, ACME Group, a prominent renewable energy company in India, and IHI Corporation, a leading Japanese integrated heavy industry group, have signed an offtake term sheet for the supply of green ammonia from Odisha, India to Japan. The agreement, signed by Shri Manoj Upadhyay, Founder and Chairman of ACME Group, and Shri Hiroshi Ide, President and CEO of IHI Corporation, marks a significant step toward fostering a global market for green ammonia.

The term sheet outlines the supply of 0.4 million metric tons per annum (MMTPA) of green ammonia from the Phase-1 project in Gopalpur, Odisha, on a long-term basis. Both companies aim to collaborate across the entire value chain, spanning production, logistics, and supply to Japanese customers. The goal is to create a market for green ammonia, particularly in power generation and various industrial applications in Japan, contributing to an overall reduction in emissions.

The signing ceremony took place in the presence of key dignitaries, including Union Minister for Power and New & Renewable Energy Shri R. K. Singh, New & Renewable Energy Secretary Shri Bhupinder Singh Bhalla, and Ambassador of Japan to India Mr. Hiroshi Suzuki.

Shri R. K. Singh emphasized the strategic importance of this collaboration, considering it one of the world’s first and largest agreements in the field of green hydrogen and green ammonia. He highlighted the close partnership between India and Japan and praised India’s competitive position in producing these green fuels. The Minister stated, “India’s cost of making green hydrogen and green ammonia is already among the most competitive in the world.”

The partnership aligns with Prime Minister Narendra Modi’s vision to position India as a leader in various fields globally. Shri Singh stated, “This is a new world where we replace fossil fuels and carbon with green and renewable fuels such as green hydrogen and green ammonia.”

Ambassador Hiroshi Suzuki echoed his support for the collaboration, emphasizing the potential of globally competitive green hydrogen in India. He expressed Japan’s unwavering support for advancing collaboration between the two nations in the energy sector.

The Ambassador also urged the early signing of the Green Hydrogen and Green Ammonia Joint Declaration of Intent (JDI) involving the Ministry of Economy, Trade and Industry, Government of Japan, and the Ministry of New & Renewable Energy (MNRE) Government of India.

Shri Ashwani Dudeja, President and Director of ACME Group, highlighted India’s strong position to develop renewable resources and produce competitive green molecules for both domestic consumption and export.

Shri Jun Kobayashi, Director and Managing Executive Officer of IHI Corporation, emphasized the strong relationship between the two companies and the significance of the agreement in developing the market for this new-generation fuel.

The green hydrogen and ammonia project at Gopalpur, Odisha, with a planned capacity of 1.2 MMTPA, is being developed by ACME in phases, and the first production is expected by 2027. Over its life cycle, the project aims to reduce global greenhouse gas emissions by 54 million tons of CO2 equivalent. The collaboration between ACME Group and IHI Corporation is seen as a major step toward advancing sustainable and innovative solutions in the energy sector.