Danish bunkering company pens agreement with HØST PtX Esbjerg’s electrolyser enterprise
Danish bunkering firm Monjasa signed green ammonia understanding with an electrolyser project in Denmark, which plans to start commercial operations in 2027.
BUNKER supplier Monjasa has signed a green ammonia offtake agreement with HØST PtX Esbjerg because the company expects a commercial market for the alternative fuel to develop by the end of the decade.
Monjasa, the Danish bunker supplier, expects delivery of green ammonia in 2028 and 2029, depending on the start-up of Danish wind farms that will be used in ammonia production.
HØST, managed by Copenhagen Infrastructure Partners, plans to produce up to 600,000 tonnes of green ammonia from renewable electricity at its power-to-x plant in Denmark's Esbjerg with an investment of €1.4bn ($1.5bn). The final investment decision for the 1 GW electrolyser will be made this year with plans to start commercial operations in 2027.
"We are excited to embark on this journey with HØST PtX Esbjerg and Copenhagen Infrastructure Partners because it shows shipowners around the world that green ammonia is becoming available as a long-term marine fuel option," Monjasa responsibility director Jesper Nielsen said.
As part of the agreement, Monjasa will provide logistics services to enable distribution of green ammonia. The marine fuel supplier may start green ammonia bunkering at the ports of Rotterdam and Hamburg.
The bunker supplier is working on other projects involving biofuels and LNG. It is blending used cooking oil in some of its bunkering operations in the United Arab Emirates and the US, a spokesperson told Lloyd’s List.
Ammonia-powered marine fuel engines are yet to be developed on a commercial level, as tests are ongoing for these engines.