GAIL has agreed to develop 2.5GW of renewable projects throughout India with AM Green (AMG) to produce green hydrogen, ammonia and methanol.
Under a Memorandum of Understanding (MOU), the two Indian firms will jointly build solar and wind hybrid projects to produce green chemicals that could be exported.
H2 View understands that the renewable plants will be combined with Greenko’s – AMG’s parent company – Pump Storage projects to supply “round-the-clock power” to end users.
The two plan to produce hydrogen-based ammonia and methanol, along with sustainable aviation fuel (SAF), with biomass used as a feedstock.
“This partnership demonstrates AMG’s emerging leadership position as a global clean energy transition solutions platform while contributing to India’s ambition of emerging as an exporter of reliable, sustainable and lowest cost green molecules and its derivatives accelerating industrial decarbonisation globally,” said Mahesh Kolli, Group President of AMG.
“The production of green methanol shall also help in decarbonisation of hard-to-abate sectors like shipping, steel, cement, etc.”
Both companies will undertake studies for the long-term supply of around 350 KTA CO2 generated by GAIL in the gas processing plants to produce eMethanol. GAIL will also have an equity option to invest in the proposed eMethanol project.
“By facilitating the supply of CO2 for eMethanol production, we are taking a proactive approach to reduce carbon emissions and support alternative fuel development,” explained Rajeev Singhal, Director (Business Development) of GAIL.
“Development of renewable energy projects will support reducing the carbon footprint of the country and advancing India’s transition to a greener energy landscape. The partnership between GAIL and AMG is set to augment technological innovation in India while also promoting economic growth and environmental sustainability.”
AMG has been steadily advancing its major Indian green ammonia projects.
In August (2024), the company reached a final investment decision (FID) on its one million-tonne-per-year green ammonia plant in Kakinada, India, which will use 1.3GW of John Cockerill alkaline electrolysers.
Read more:FID secured for 1.3GW RFNBO-compliant green ammonia plant in India
A month after securing FID, RWE agreed to purchase up to 250,000 tonnes a year of green ammonia produced at the plant, beginning in 2027.
Read more:AMG to supply 250,000 tonnes of green ammonia annually to RWE
