Posted on 06 Jan 2025
South Korean green energy firm Lupro has inked an agreement with energy companies in Oman and Thailand to produce and supply green ammonia, Kallanish Power Materials learns.
Under the deal with Omani conglomerate Muscat Investment House, Lupro plans to build a 1 million-tonne-per-year green ammonia facility in Duhok, Oman. The facility, whose construction is expected to start next year, will export ammonia to Thailand starting in 2027. From there, it will be supplied to other countries in Southeast Asia by Thai firm MA Corporation.
“It costs about 330 won per kilowatt (KW) in Korea, but in Oman, green ammonia can be produced at a cost of 5 won per KW,” says Kim Se-ho, the chairman of Lupro. “It is economically viable enough to be established as a new business model in the era of energy transition.”
Using a 2-gigawatt power generation facility, the partners initially plan to produce 5m t of green ammonia over five years. They later aim to expand this to over 5 GW to produce over 2.5m t/y of green ammonia, expanding supply to Singapore, Malaysia, and South Korea.
Lupro estimates supply from the first phase of the facility to generate KRW 6.5 trillion ($4.5 billion) over five years.
India’s ACME Group is also developing a 300 tonnes/day green hydrogen and ammonia project in Oman, with commissioning expected by the end of 2026. Recently, the firm contracted Shuangliang Hydrogen, a subsidiary of Chinese equipment firm Shuangliang Group for the green hydrogen production equipment for the project.
Last month, Oman’s Ministry of Energy and Minerals announced the establishment of the so-called Oman Net Zero Centre to help the sultanate reach net zero by 2050. Among other things, the new centre will issue certifications for carbon, hydrogen, and low-carbon products.
Source:Kallanish Power Materials
