Lemvig, Denmark and Tokyo, Japan, October 5, 2023
Japanese Sumitomo Corporation (SSUMY), through its principal subsidiary, Sumitomo Corporation Europe Limited, and private Danish renewable energy developer Skovgaard Energy have signed a letter of intent (LOI) on the future collaboration in green ammonia production.
Skovgaard Energy is constructing the world’s first of its kind dynamic and flexible green ammonia plant powered directly by 100% wind and PV power behind-the-meter. The project will demonstrate the dynamic Haber-Bosch ammonia synthesis can work as potential energy storage technology without intermediate hydrogen storage. It is funded by Danish EUDP with Topsoe and Vestas as project partners. Production is slated for Q2 2024.
Sumitomo Corporation Group conducts business activities in a wide range of industries on a global scale, with its business units, an initiative and regional organisations all over the world, and has been active in various numbers of renewable energy projects. The company will bring investment (amount not disclosed) and industry-scale know-how to the project.
“We look forward to collaborating with Skovgaard Energy, which we consider highly competent in their field. Located in Europe’s hotspot for the green transition with great wind and solar resources, state-of-the-art infrastructure and backup by local stakeholders, it is obvious for us to begin our journey in this field here,” said Head of Energy Innovation Initiative, Ko Akiyama, from Sumitomo Corporation Europe Limited.
Fertilisers play a critical role in sustaining agricultural productivity, ensuring that the world’s growing population of eight billion people has access to an adequate food supply and is also an promising potential fuel resource for ships. The North Sea, Northwest Jutland and local port – Thyboron Port – are ideally located for the production and distribution setup.
“We are thrilled to be at the forefront of this transformative project that combines renewable energy and green ammonia production. By replacing natural gas with green electricity, we can help farmers and vessel operators reduce their carbon footprint and secure more stable food and fuel prices. The flexible ammonia production technology setup is a significant step forward for democratising access to cheap, green ammonia. Together with Sumitomo we will have both resources and competencies for future upscaled projects,” said CSO Bjarke Mollerup Bitsch from Skovgaard Energy.
About Sumitomo Corporation
Sumitomo Corporation (“SC”) is a leading Fortune 500 global trading and business investment company with 129 locations in 66 countries and regions. It positions hydrogen and ammonia as one of the key future energy sources for decarbonising society. It is actively engaged in the development of a wide range of hydrogen-related businesses, including local production for local consumption businesses, large-scale value chain businesses promoting mass production, transportation, storage, and utilisation, as well as investing in new technologies.
About Skovgaard Energy
Skovgaard Energy is a Danish-based and privately owned developer of wind, solar, biomass and power-to-x projects with over 30 years of experience. The company has a track record of windturbines in markets like Denmark, Norway, Sweden and Germany. Skovgaard Energy strives to create solutions that address global challenges by working closely with local communities. For the ammonia project, Skovgaard Energy has partnered up with wind turbine supplier Vestas Wind Systems, Topsoe, a global leader in catalysis and process technology and now Sumitomo.
The Danish Government funds the project via the Energy Technology Development and Demonstration Programme with 10.7 Mio EUR.
About the Ammonia plant
The plant will be in Ramme, near Lemvig, Jutland, Denmark. With an annual production of 5,000 tons of green ammonia 8,200 tons of CO2 is saved from being emitted into the atmosphere. Power will be supplied from 50 MW solar panels and 12 MW wind turbines.
The Skovgaard Energy project is based on a flexible renewable ammonia production technology eliminating energy storage capacities such as batteries or water reservoirs.
About Thyboron Port
The Port of Thyboron is a dynamic commercial port with a strategic location on the Danish North Sea coast and safe navigation in any weather conditions. Given its strategic location close to the future wind farms in the North Sea the port has been heavily evolving over the last years in the offshore wind segment. 6 km of quays and 1 000,000 square metres of quayside land serve four significant business areas today – fishing, goods handling, maritime service and offshore wind.
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