KUALA LUMPUR, MALAYSIA – Media OutReach – November 2, 2023 – Gentari Sdn Bhd (Gentari), through its wholly owned subsidiary Gentari International Renewables Pte Ltd, has entered into an agreement with AM Green BV (AM Green) to jointly invest, in phases, into a green ammonia platform, AM Green Ammonia Holdings BV (AMG Ammonia). AMG Ammonia is created by the founders of Greenko, one of India’s leading renewable energy companies. A subsidiary of Singapore investment entity GIC is also an investor in AMG Ammonia.
AMG Ammonia is expected to produce 5 million tonnes per year (MTPA) of green ammonia using renewable energy around the clock by 2030. The platform aims to provide green ammonia, as it is currently the most mature and stable form of hydrogen transport.
The 5 MTPA of green ammonia produced is equivalent to around 1 MTPA of green hydrogen and would represent 20% of India’s target for green hydrogen production by 2030, or 10% of the European target of imported renewable hydrogen. This size and capacity will place AMG Ammonia among the global pioneers in large-scale, lower-cost green ammonia production. The first export of green ammonia from this platform is planned by the end of 2025 and aims to serve major OECD markets, such as Germany, Japan and South Korea, as well as Singapore.
Both Gentari and AM Green bring complementary capabilities across the green hydrogen value chain, including renewable energy, electrolyzers, and ammonia production and marketing capabilities. The parties will mutually invest in AMG Ammonia, demonstrating their full commitment to realizing the potential of the platform and expanding their presence in Asia Pacific and Europe. After the investment from Gentari, AM Green and GIC, AMG Ammonia will be a fully funded platform for the targeted ammonia production plan. The platform is expected to invest, in stages, in projects spread across different sites in India. This will ensure a competitive supply of hydrogen to the global market and will be essential for the manufacturing and export of green hydrogen in the region.
For Gentari, strong collaborations in its target market, Malaysia and in the wider Asia-Pacific region, will be key to achieving its global ambition of up to 1.2 MTPA of clean hydrogen by 2030. In Malaysia , the company sees strong potential to develop a local hydrogen economy. . To this end, Gentari has undertaken efforts to position Malaysia as a hydrogen export hub, through which its hydrogen projects will support a comprehensive national roadmap including hydrogen as a lever of energy transition for Malaysia.
These efforts include collaboration with Sarawak’s SEDC Energy Sdn Bhd to jointly explore the state’s potential as a green hydrogen production hub. At the same time, Gentari is also collaborating with PETRONAS and Tenaga Nasional Berhad to advance studies on green hydrogen development in Kerteh, Terengganu and Pengerang, Johor towards the creation of a hydrogen economy in Malaysia .
Sushil Purohit, CEO of Gentari, said:
“As Gentari expands its portfolio of clean energy solutions in Malaysia, Asia Pacific and beyond, we believe in the critical importance of industry-level collaborations that combine complementary strengths and unlock synergies. This partnership with AM Green and GIC demonstrates our commitment. by accelerating the adoption of green hydrogen globally, to make an impact in the pursuit of a net zero future. In OECD, Southeast and East Asian economies, green ammonia will contribute to the decarbonization of industries such as power generation, through co-firing, as well as than shipping.”
Anil Chalamalasetty, Founder of Greenko Group and AM Green, said:
“We are delighted to partner with Gentari and GIC to embark on the global low-carbon green economy. Gentari and GIC’s engagement supports Prime Minister Modi’s vision for India to become a leader in the global energy transition. This strategic partnership will aim to accelerate “the net zero emissions targets of various industries and multiple OECD economies. The continued focus on innovation combined with execution will ensure that our company, AM Green, stays ahead over others by becoming a global platform for clean energy transition solutions.”
Gentari was advised by BofA Securities and Shardul Amarchand Mangaldas & Co. Completion of the transaction is subject to the satisfaction of customary conditions precedent.
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The issuer is solely responsible for the content of this announcement.
