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28 Mar 2024

Safety approval has been granted to the Norwegian ammonia terminal project

Safety approval has been granted to the Norwegian ammonia terminal project

Two companies, Yara Clean Ammonia and Azane Fuel Solutions, have collaborated over an ammonia terminal project, which was recently granted safety approval. This safety permit which was granted by the Norwegian Directorate for Civil Protection (DSB) means that the companies can now go ahead with the construction phase of the ammonia bunkering facility that will be based at the Fjord Base in Florø.

To achieve this permit, both companies demonstrated the various ways in which the planned terminal effectively and efficiently meets the DSB’s safety requirements. The facility that will be constructed will include a floating stationary barge, that has a capacity of 650 tonnes of low-emission ammonia. The facility will also be capable of completing an estimated 416 operations annually.

The next steps for this specific project include Yara, Azane and Fjord Base working together to get a permit with the local municipality. The companies ideally need to secure this permit before the final investment decision is made.

Aside from this specific project, Yara and Azane have also been in conversation about their larger plan of creating a network of ammonia terminals based throughout Scandinavia. Their overall aim with this project is to work towards decarbonising a large section of the maritime industry and they will be doing this through the use of hydrogen-based ammonia.

The focus on ammonia-based projects, has accelerated significantly as ENOVA, the company who manages the Norwegian Climate and Energy Fund for the government, is planning to push the ammonia industry forwards soon. ENOVA has stated that in 2024, they are planning to provide ammonia grant tenders for ammonia-powered ships and infrastructure. The purpose of this is to incentivise and aim for the increase of fuel, along with a wider-spread use of ammonia.

Vice-President Projects & Products at Azane, Steinar Kostøl, commented, “Now we finally know with certainty the safety zones we will have to operate under when bunkering ammonia. The required safety zones are very encouraging and demonstrate how it will be possible to bunker ammonia in the biggest and busiest ports around the world.”

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