Germany-headed global chemicals major BASF SE (BASF), and the Netherlands-headed AM Green B.V. (AMG), a leading energy transition solutions provider, have entered a Memorandum of Understanding (MoU) to jointly evaluate and develop business opportunities for low-carbon chemicals produced exclusively with renewable energy, and the corresponding value chains in India.
Under the MoU, signed in the context of the Asia-Pacific Conference of German Business 2024 hosted in New Delhi, BASF and AM Green intend to conduct feasibility studies on the production of low-carbon chemicals in India including a joint evaluation of potential technologies.
Possible RFNBO offtake
The cooperation also includes a non-binding Letter of Intent (LoI) for the offtake of 100,000 tonnes annually of ammonia produced exclusively with renewable energy including energy from pumped storage projects from AM Green’s plants in different locations in India.
We are committed to the sustainable transformation of the industries we serve. We are convinced that India is the right place to explore low-carbon chemical production together with our partner AM Green, said Dr Markus Kamieth, Chairman of the Board of Executive Directors of BASF SE.
This ammonia will meet EU standards for renewable fuels of non-biological origin (RFNBO) as defined in the Renewable Energy Directive (RED III).
Some of AM Green’s facilities have already been pre-certified for RFNBO compliance through the “CertifHy” voluntary certification scheme, and pre-certification for AM Green’s other facilities is underway.
We are delighted to partner with a global chemical leader like BASF to propel the green transformation in the industry. AM Green’s vision of deepening capabilities in downstream value chains of green molecules is core to this partnership with BASF. AM Green and BASF partnership envisages to cater to multiple chemical downstream and associated consumer industries by providing key green molecule feedstocks to produce chemicals, materials, and products in the markets served by BASF, said Mahesh Kolli, Group President of AM Green.
