ACME and IHI have announced they will assess the feasibility of potential joint projects in the ammonia energy space, including production, transportation, distribution, and power generation. The agreement also allows IHI to become an investor or offtaker in one or more of ACME’s ammonia production mega-projects: Oman, India, Egypt and the USA (project not yet announced).
The pair will also explore offering a joint, integrated ammonia solution to their customers, encompassing supply, maritime fuel bunkering and different end-use applications for ammonia. IHI will continue its feasibility work into coal co-firing in India (first announced in March 2022), in a bid to “contribute to the early implementation of fuel ammonia in society”.
ACME and IHI have a shared vision to develop innovative solutions to produce and supply clean energy to users around the world. With ACME’s extensive experience in developing renewable energy projects and solutions, IHI’s understanding of the green ammonia value chain, and both companies’ passion and willingness to proactively tackle societal challenges and be at the forefront of infrastructure development, we possess the capability to lead the transition to carbon-free ammonia usage across a wide variety of industries.Executive Officer, IHI Corporation Jun Kobayashi in ACME’s official press release, 21 Feb 2023
Economics of ammonia fuel for gas turbines
Following last month’s announcement that they will proceed with development of 100% ammonia-powered gas turbines, IHI & GE presented results of their joint feasibility study at a recent conference. As reported in POWER magazine, GE Power Director of Emergent Technologies Jeffery Goldmeer explained that, while LNG remains the cheapest fuel for turbine use at $110-$130/MWh in Japan (LCOE), direct ammonia presents the next cheapest option at $130-$190/MWh. Both are significantly cheaper than imported liquid hydrogen fuel. The study was based on long-range import of CCS ammonia into Japan from the Middle East, or long-range liquid hydrogen imports.
Goldmeer also noted that, while IHI & GE’s turbine development program is focused on GE’s turbine fleets in Asia, the results of the R&D work will be applicable to F-Class models from other turbine manufacturers. You can read the full interview here.