Copenhagen Infrastructure Partners (CIP) has unveiled plans for the establishment of Europe’s largest production facility of green ammonia, one of the most promising low emission marine fuels.

The Power-to-X facility located in Esbjerg on the Danish west coast will convert power from wind turbines to green ammonia. The green ammonia produced could be used within the shipping industry as a sustainable fuel and also as a fertilizer.

Ammonia doesn’t emit CO2 when burned but there are some technical issues to be resolved, including safe pressurization, liquefaction and combustion before it can become widely used as a fuel.

Project collaborators including AP Moller – Maersk, Arla, Danish Crown, DLG and DFDS have signed a memorandum of understanding, committing to work towards realizing the establishment of the facility as well as supporting the off-take of the green ammonia from the facility once it is ready to be delivered to the market.

According to CIP, the project has the potential to reduce CO2-emissions by about 1.5 million tons – equivalent to removing 730,000 cars from the roads permanently. The facility is planned to start producing green ammonia in 2026.

Copenhagen Infrastructure Partners (CIP) is the world’s largest dedicated fund manager within greenfield renewable energy infrastructure investments.