Iberdola, Trammo sign deal for renewable ammonia

LONDON (ICIS)–Iberdrola and Trammo have signed a framework agreement for the purchase and sale of up to 100,000tonnes/year of renewable ammonia from 2026, it was announced 9 June.

The deal has sparked Iberdola to announce that the company will build a renewable ammonia plant in southern Europe with a total investment of some €750m including European funding.

The renewable ammonia plant will be supported with the construction of 500MW of renewable electricity generation assets to fuel the plant.
The renewable ammonia produced will be purchased by Trammo before being sold and delivered to end users.

Renewable ammonia has been cited as a major component of the global hydrogen economy, and is could become the hydrogen carrier of choice once trade flows begin to start in the coming years.

Several large ports in Europe are building ammonia import plants as well as ammonia cracking facilities to extract the hydrogen before being further transported via pipeline.

Moreover, many countries (Canada, Namibia, Saudi Arabia for example) are due to export renewable ammonia in large quantities in the near future to maximise the ability for other regions, especially Europe, to take advantage of a large renewable resource elsewhere in the world.