Wärtsilä, a technology group, in collaboration with Höegh LNG from Norway and other partners such as IFE, University of South-East Norway, Sustainable Energy and BASF SE have secured funding of approximately EUR 5.9 million from the Norwegian Government. The funds have been granted to support the development of ammonia as a hydrogen carrier for the energy market, which is part of Norway's Green Platform program. The amount awarded represents roughly 50% of the total budget allocated for the joint project.
The initiative aims to improve the availability of large-scale storage and transportation capabilities of clean energy. Hydrogen is increasingly being considered as a viable future fuel as countries look to reduce their reliance on fossil fuels. However, storing and transporting hydrogen can be challenging due to its low volumetric energy density and potential for significant vaporisation losses.
On the other hand, ammonia is a much better-suited alternative to hydrogen for storage and transportation purposes, as it can be stored in liquid form at moderate pressures and temperatures. The main objective of this project is to facilitate the conversion of ammonia back to hydrogen at the receiving destination.
Green ammonia is a carbon-neutral renewable energy carrier produced through the electrolysis of water for hydrogen and nitrogen from the air. The energy consumed using this approach can significantly reduce emissions. Green ammonia acts like a liquid battery and has a higher energy density compared to alternative solutions for the storage and transport of renewable power. The infrastructure for the large-scale transport of ammonia at sea already exists via a fleet of gas tankers having ammonia on the cargo list.
The project's ultimate goal is to develop a system capable of converting ammonia back to hydrogen, which will be installed onboard a Höegh LNG vessel. This innovative solution will provide a floating receiving terminal that can be relocated as needed with minimal use of coastal land. This approach is expected to result in lower overall costs, improved safety and more competitive hydrogen prices.