Ammonia
Overview
The ammonia market is undergoing a period of rapid and dramatic change. Conventional or ‘grey’ ammonia is traditionally produced almost exclusively for its nitrogen content. However, the urgent need to decarbonise the global economy and meet ambitious zero-carbon goals has opened up exciting new opportunities.
Ammonia has the potential to be the most cost-effective and practical ‘zero-carbon’ energy carrier in the form of hydrogen to the energy and fuels sectors. This has led to rapid growth of interest in clean ammonia and a flurry of new ‘green’ and ‘blue’ ammonia projects.
Argus has many decades of experience covering the ammonia market. We incorporate our multi-commodity market expertise in energy, marine fuels, the transition to net zero and hydrogen to provide existing market participants and new entrants with the full market narrative.
Our industry-leading price assessments, powerful data, vital analysis and robust outlooks will support you through:
- Ammonia price assessments (daily and weekly), some of which are basis for Argus ammonia futures contracts, Ammonia forward curve data and clean ammonia cost assessments and modelled weekly prices
- Short and medium to long-term forecasting, modelling and analysis of conventional and clean ammonia prices, supply, demand, trade and projects
- Bespoke consulting project support
Latest ammonia news
Browse the latest market moving news on the global ammonia industry.
Partners to build NH3 bunkering in Australia’s Pilbara
Partners to build NH3 bunkering in Australia’s Pilbara
Sydney, 10 June (Argus) — Australia-based blue ammonia firm NH3 Clean Energy and marine fuels company Oceania Marine Energy have signed an initial agreement with Australian port authority Pilbara Ports to develop low-emissions ammonia bunkering at the port of Dampier in Western Australia (WA). The partners aim to establish ammonia bunkering to service iron ore carriers at Dampier by 2030, NH3 Clean Energy said today. PPA is the world's largest bulk handling authority, shipping 750mn t/yr of commodities. NH3 Clean Energy is developing the WAH-2 blue ammonia plant near the WA city of Karratha, for which it hopes to take a final investment decision for a 650,000 t/yr phase 1 in late 2026 . Privately owned Oceania is establishing a bunkering business that will use LNG and ammonia at Pilbara Ports sites, with operations set to begin in 2027 and 2028, respectively. Oceania plans to use ship-to-ship transfer to supply low-emissions fuels, and is working with Singapore maritime firm Seatech Solutions on a vessel with capacity for 10,000m³ NH3 parcels. About 300 bulk carriers service Pilbara Ports's iron ore trade. If just 16 of these operated on ammonia and bunkered in Australia, 600,000 t/yr of ammonia would be required — more than 90pc of WAH-2 's phase 1 output, NH3 Clean Energy said. WA could become a world leader in lower-emissions shipping, the firm said, referencing recently adopted International Maritime Organisation (IMO) emissions limits and carbon pricing . The IMO's plan has disappointed some hydrogen industry associations and environmental groups , which claim hydrogen-based bunkering fuels will remain at a disadvantage to biofuels and LNG under the agreement. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Japan resilient about clean NH3 prospects: Correction
Japan resilient about clean NH3 prospects: Correction
Clarifies details of funding withdrawal from Baytown project in fourth paragraph London, 9 June (Argus) — Japan remains committed to scaling up the emerging clean ammonia industry for direct combustion through consistent government support mechanisms, despite government roll backs on funding and commitments in other regions. "Renewables and EVs cannot solve everything, so serious demand for hydrogen and ammonia is waiting in heavy industry, heavy duty trucks, thermal power and other [applications]," Japan's economy, trade and industry ministry (Meti) director of hydrogen and ammonia, Daisuke Hirota, told delegates at the Argus Clean Ammonia Asia conference in Tokyo this week. Meti continues to focus on addressing the price gap between clean ammonia for use in power in generation when compared with traditional coal feedstocks. The government's contract for difference (CfD) scheme is progressing, with Meti currently in discussions with the 27 applicants . "Clear and consistent policy is really what is required [for project developers]," ExxonMobil's commercial director for Asia-Pacific low carbon solutions, Kon Wai Seng, said. The US Department of Energy withdrew $332mn in funding from ExxonMobil's Baytown Olefins plant carbon reduction project in Texas last week. The project aims to replace natural gas feedstock for ethylene production with hydrogen. ExxonMobil also has a 1mn t/yr carbon capture and storage (CCS) enabled ammonia project planned in Baytown, with a final investment decision expected later this year. The firm has previously announced a 250,000 t/yr supply agreement with Japanese petrochemical trading firm Marubeni from its CCS-ammonia project. Marubeni is relying on the successful commissioning of the Baytown project for its bid in Meti's CfD scheme, which requires supply to start from 2030. The US' 45Q internal revenue code tax credit for carbon capture is likely to survive with some modifications, despite cutbacks on other US tax credits . This will provide "consistent benefit" for Japanese companies involved in CCS ammonia production projects in the US, according to Institute of Energy Economics (IEEJ) senior economist Yoshikazu Kobayashi. Japanese firms Jera and Mitsui announced a joint financial investment decision with partner CF Industries on a CCS-ammonia project at Blue Point in Louisiana. The partners plan to benefit from the 45Q tax credit that grants $85/metric tonne of CO2 geologically stored. Jera and Mitsui plan to ship their offtake from the project to Asia , including Japan. But the price ceiling under the CfD scheme cannot cover all additional costs as it stands, Kohei said. Meti is currently exploring expanding the scheme to include price differences from upstream projects, which would add an additional layer of support. And significant progress has also been made in addressing nitric oxide and nitrogen dioxide (NOx) emissions in ammonia combustion. Trials of 20pc ammonia with coal co-firing have delivered more than a 20pc reduction in NOx emissions to 106ppm NOx emitted, according to Japanese engineering firm IHI Power Systems. A demonstration project with a 1GW power plant had successfully been completed at the Jera Hekinan thermal power plant in 2024 . Trials for 50pc and more co-firing rates or mono-firing of ammonia are ongoing. Japan revised its "basic hydrogen strategy" 2023 but the numerical target of 3mn t/yr of supply by 2030 remains the same, with 12mn t/yr targeted in 2040 and 20mn t/yr in 2050, and are supportive of ammonia demand, Hirota said. Asia-Pacific paves the way South Korea opened the second round of its clean hydrogen power generation bidding market in May . Ammonia market participants in the country are much more positive for the second round, following the implementation of an "exchange-rate linked settlement system" to reduce currency risks, delegates heard at the conference. Participants in the scheme are largely looking towards projects in the Middle East and the US to supply the tender. In China, momentum is building fast in the renewable ammonia industry. The Chinese government is exploring ammonia co-firing at a 10pc rate, China's main planning agency the NDRC announced last year . And Marubeni has just confirmed a binding offtake agreement with Chinese renewables company Envision from its 300,000 t/yr renewable ammonia project in Chifeng, Inner Mongolia, which started commissioning in 2024. The plant is due to start commercial production in September, and Marubeni expects its first export shipment from the fourth quarter of this year. Chinese trading firm Ampro also has ambitious plans in the renewable ammonia market and has signed agreements with major producers, anticipating the export of around 300,000t of green ammonia from north China in 2028. Ampro has signed supply agreements with at least four producers — China Energy Investment Group, State Power Investment, China Energy Engineering and China Huadian. Chinese renewables technology company Longi's renewable ammonia demonstration plant in Da'an with an initial output of 180,000 t/yr of ammonia is also expected to reach commissioning this year. Envision and Longi's projects place China firmly in the first mover category for renewable ammonia projects globally. By Lizzy Lancaster and Dinise Chng Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Ammonia ships best placed for IMO rules: Study
Ammonia ships best placed for IMO rules: Study
Sao Paulo, 30 May (Argus) — Ammonia dual-fuel ships will be best positioned to meet the International Maritime Organisation's (IMO) Net-Zero Framework from 2028 onwards, according to a study by University College London (UCL) and maritime consultancy UMAS. The study says LNG-fuelled ships will benefit from the IMO's rules in the short term, but they will no longer comply after 2030 unless operators switch to bio-LNG or install onboard carbon capture and storage (CCS) systems. Without CCS, they will not generate enough surplus units (SUs) to offset emissions. Uncertainty around future LNG prices and abatement costs could also limit its appeal as a long-term bunker fuel, the study said. In contrast, blue ammonia ships will remain compliant until the mid-2040s. After that, vessels would need to switch to e-ammonia to avoid buying remedial units. Methanol dual-fuel ships would need to transition from biomethanol to biodiesel by 2034, and to e-methanol by 2038 to stay within IMO limits. Fuel choice will be shaped by abatement and penalty costs until the mid-2030s, but emissions intensity will become the main driver after that, the study said. UCL and UMAS used total cost of operation modelling to compare LNG, methanol, ammonia and conventional bunker fuels. The model also factored in potential gains from SUs discussed at the IMO's Marine Environment Protection Committee (MEPC 83), although final SU values may still change. On the port side, the study said infrastructure investment will follow shipowner demand. In the near term, ports should support at least three bunker fuels, but in the medium term, they should focus on ammonia. By Gabriel Tassi Lara and Natalia Coelho Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
Aramco eyes stake in Australia's Louisiana LNG project
Aramco eyes stake in Australia's Louisiana LNG project
Sydney, 14 May (Argus) — Australian independent Woodside and Saudi state-owned oil firm Aramco have entered into an agreement for Aramco to possibly buy a stake in Woodside's 16.5mn t/yr Louisiana LNG project and to explore other opportunities, including lower-carbon ammonia. As part of the non-binding agreement, Aramco could buy an equity interest in and LNG offtake from its Louisiana LNG project, Woodside said without disclosing further details. This comes after Woodside reached a final investment decision on the project in late April. Woodside and Aramco signed the agreement in Riyadh in Saudi Arabia at the Saudi-US investment forum , which was attended by Arabian crown prince Mohammed bin Salman and US president Donald Trump. The collaboration shows Woodside's Louisiana project is generating interest among "high-quality potential investors," Woodside's CEO Meg O'Neill said, after selling 40pc of the project's infrastructure to US-based investment firm Stonepeak in early April. The agreement will also help the firm build a more diverse portfolio, as it branches into chemical production, O'Neill said. The firm's wholly-owned Beaumont New Ammonia project in Texas is expected to produce first ammonia in the second half of this year, and lower-carbon ammonia by the second half of next year. By Grace Dudley Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.
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