AM Green Signs Long-Term Green Ammonia Supply Deal With JERA

AM Green has signed a five-year agreement to supply 70,000 tonnes of green ammonia annually to Japan’s JERA, supporting low-carbon shipping fuels and expanding India’s renewable ammonia exports.

Hyderabad-based AM Green Ammonia (India) Private Ltd has signed a binding agreement with Japanese energy company JERA to supply approximately 70,000 tonnes of green ammonia annually to Japan for five years, The agreement is intended to support the decarbonisation of maritime transport and expand Japan’s low-carbon ammonia supply chain beyond electricity generation. The contract may be extended to cover additional supply volumes.

The ammonia will be produced at AM Green’s facility in Kakinada, Andhra Pradesh, which is scheduled to begin operations in 2028-29. The project is designed to use renewable electricity supported by pumped-hydro energy storage and alkaline electrolysis technology. This production model is intended to meet internationally recognised low-carbon standards and benchmark requirements for the European market.

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Under the agreement, the fuel is expected to pass through receiving, storage and distribution infrastructure being developed next to JERA’s Hekinan Thermal Power Station in Aichi Prefecture, Japan. It will primarily supply a planned joint venture involving Japanese shipping companies Kawasaki Kisen Kaisha and Nippon Yusen Kabushiki Kaisha. The venture intends to use an ammonia bunkering vessel to fuel ammonia-powered car carriers, making the agreement part of an emerging market for lower-carbon marine fuels.

The companies described the arrangement as one of the first large-scale green ammonia bunkering initiatives globally. For JERA, securing supplies from India will diversify its low-carbon ammonia portfolio and support the development of infrastructure for the fuel’s use in shipping and other industrial applications. JERA generates around one-third of Japan’s electricity and is among the world’s largest buyers of liquefied natural gas.

For AM Green, the agreement marks one of its first delivered-basis supply contracts in the Asian market and strengthens its position as an exporter of renewable fuels. The company aims to develop green ammonia production capacity of five million tonnes per annum across multiple locations in India. Its Kakinada project, with a planned capacity of one million tonnes annually, is under construction.

The deal adds to AM Green’s international supply agreements. In September 2026, the company secured a 10-year renewable ammonia offtake arrangement with Germany’s H2Global trading arm, Hintco, with a minimum contract value of €585 million. It also signed a long-term agreement with German energy company Uniper in January 2026 to supply up to 500,000 tonnes of renewable ammonia annually from its Indian projects.

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The JERA agreement highlights India’s growing role in supplying lower-carbon fuels to international markets, while linking domestic renewable energy and industrial production with Japan’s efforts to reduce emissions from shipping and other hard-to-abate sectors.