Lotte Fine Chemical signed a contract to import clean ammonia (blue), the world’s first commercially produced clean ammonia, from Saudi Aramco’s subsidiary Sabic and Ma’aden.
This contract marks a new turning point in building a global clean hydrogen/ammonia supply chain for carbon neutrality.
On the 26th, Lotte Fine Chemical signed a contract to import 25,000 tons of clean ammonia with Sabic and Maden in Riyadh, Saudi Arabia. The content is to import a total of 50,000 tons of clean ammonia to Korea this year, the world’s first clean ammonia volume that has received global certification (Germany TUV).
Sabic is a 70% owned chemical subsidiary of Saudi Aramco, Maden is a state-owned fertilizer company with a 50% stake in Saudi Arabia, and Aramco’s chairman is the co-chairman of Maden.
In the meantime, there have been MOU agreements for the promotion and supply of clean hydrogen/ammonia production projects in countries around the world, but this is the first case of commercial production of clean ammonia supply contract. This contract is meaningful in that it has taken the first step towards realizing a global clean hydrogen/ammonia supply chain.
The Ministry of Trade, Industry and Energy is establishing a certification system to incentivize the use of clean hydrogen to promote a clean hydrogen economy.
Meanwhile, Lotte Group Chemical Group is actively promoting the introduction of clean ammonia overseas with a plan to produce 1.2 million tons of clean hydrogen by 2030, distribute and utilize it.
The clean ammonia contracted this time will be imported to Ulsan, where Lotte Fine Chemical’s ammonia terminal is located, within this year. Lotte Fine Chemical is researching related technologies as the host of the national project and is building a demonstration facility in the Ulsan plant.
Yong-seok Kim, CEO of Lotte Fine Chemical, said, “We will contribute to achieving the 2030 hydrogen growth roadmap for Lotte Chemical while working closely with related ministries to help Korea lead the global energy transition.”
Abdulrahman Shamsaddin, Agri-Nutrients business head at Sabic, said, “This contract is an important milestone on our carbon-neutral journey.”
Hassan Al Ali, head of Maden’s business, said, “We are delighted to export our first clean ammonia (blue) volume to Korea through Lotte Fine Chemical.”