Aker Clean Hydrogen, a portfolio company of Aker Horizons, has partnered with Statkraft and SOWITEC to explore opportunities to create green hydrogen and ammonia in India and Brazil. The steel and fertiliser industries in India and Brazil would be the focus of the collaboration. Green hydrogen will be used to replace grey, fossil-fuel-based hydrogen, coal, and natural gas as a fuel and feedstock in the collaboration.
Aker Clean Hydrogen will collaborate with Statkraft and SOWITEC to develop power-to-X projects in Bahia, Brazil. The power-to-X system represents the usage of enabling technologies to store electricity by converting it into hydrogen or heat. Furthermore, the collaboration will undertake a large-scale hybrid project, merging renewable power generation with hydrogen and ammonia production for the fertilizer sector in Brazil. By creating green ammonia domestically, the cooperation seeks to decrease the country’s agricultural dependency on imported grey ammonia. By 2027, the project should be fully operational.
Every year, the Indian steel industry produces over 100 million tonnes of steel. With an annual consumption of around seven million tonnes of grey hydrogen, India is currently the world’s second-largest hydrogen consumer. By the end of the decade, India’s hydrogen consumption is predicted to reach 12 million tonnes, rising to 28 million tonnes by 2050. Whereas Brazil is the world’s fourth-largest fertiliser consumer, accounting for 8 per cent of worldwide fertiliser usage. Brazil’s agriculture sector imports fossil-fuel-based fertilisers in large quantities.