Wärtsilä, Höegh LNG and partners to develop ammonia as hydrogen carrier with Norwegian backing

Finnish technology group Wärtsilä and Norway-based Höegh LNG, together with other partners, have received funding of approximately €5.9 million (around $6.4 million) from the Norwegian government for the development of ammonia as a hydrogen carrier for the energy market.

The funding is part of Norway’s Green Platform programme of initiatives and amounts to approximate 50% of the total budget for the joint project. The other partners in the project include Institute for Energy Technology (IFE), University of South-East Norway, Sustainable Energy and BASF SE.

As disclosed, the project aims to develop a system to convert ammonia back to hydrogen, which will then be installed onboard a Höegh LNG vessel. This will provide a floating receiving terminal capable of being relocated as needed, requiring minimal use of coastal land and a solution resulting in lower overall cost, improved safety and competitive hydrogen prices.

It is designed to enhance the availability of large-scale storage and transportation capabilities of clean energy. The objective is to enable ammonia to be converted back to hydrogen at the receiving destination as it is significantly better suited than hydrogen for storage and transportation.

“This important project is a natural extension of the investments and efforts made by Wärtsilä to accelerate the use of decarbonised energy. Hydrogen will play a considerable role in future renewable fuel consumption, and there is a clear need for the development of ammonia as a storage and transportation carrier for hydrogen. We are grateful to the Norwegian government for its support and funding, and we appreciate also the cooperation of Höegh LNG and our other partners in making this project possible”, said Walter Reggente, Vice President of Wärtsilä Gas Solutions.

“As a world-leading provider of fast-track floating LNG terminals, we are well-positioned to support the transition to clean, carbon-free energy. New and innovative solutions will need to be developed and we look forward to working together to ensure we remain at the forefront of the energy transition”, noted Erik Nyheim, CEO and President of Höegh LNG.