Siemens Energy joins Project Ra
By on November 30, 2023
1.65 million tonnes per year in East Port Said
DAI Infrastruktur and Siemens Energy will collaborate on the renewable ammonia project in Egypt. Siemens will supply electrolysers, auxiliary plant systems and other equipment for the “hydrogen island” section of Project Ra. Both organisations will collaborate on engineering services during the project development stage.
The ammonia will be sold to German and other European offtakers, with the bulk to be used as maritime bunker fuel. In October, ITOCHU and Orascom Construction announced they would be jointly developing an ammonia bunkering hub near the Suez Canal.
DAI Infrastruktur is strongly committed to developing East Port Said to be one of the biggest green ammonia hubs in the East Mediterranean. The location of the plant and its perfect access to the sea will help the maritime industry in bunkering their vessels as well as shipping the valuable green ammonia to off takers within Europe.
Ioannis Papassavvas, DAI Infrastruktur Co-founder in his organisation’s official press release, 30 Oct 2023
Ten-year purchase agreement
One of the offtakers for Project Ra will be Naftomar Shipping & Trading, a Greece-based vessel owner, trader and transporter of LPG and ammonia. In June, Naftomar committed to offtake 400,000 tonnes per year of ammonia for a decade from Project Ra, with the first delivery in early 2028. Not only will Naftomar trade the ammonia on global markets, but it is also exploring the use of ammonia fuel on board its fleet. This month, Naftomar placed an order for four 93,000 m3 capacity ammonia carriers from Hanwha Ocean, equipped with ammonia dual-fuel engines. When they hit the water, the Very Large Ammonia Carriers will be the largest of their vessel type in the world.
This is the third agreement we have signed so far for the Ra project. Given the fact that we have, as of today, signed off-take agreements covering 85% of the estimated production capacity and that two of our main off taking partners see green ammonia also as one of the dominant marine fuels in the future, puts us in a very comfortable and unique position regarding Ra.
Ioannis Papassavvas, DAI Infrastruktur Co-founder in his organisation’s official press release, 23 Jun 2023
The path to lower emissions in the maritime industry is given and securing marine fuel like green ammonia for our fleet and our customers will be a road that every vessel owner & operator has to go.
Paolo Michi, LPG Trader at Naftomar in DAI Infrastruktur’s official press release, 23 Jun 2023