The American Bureau of Shipping (ABS) has granted Approval in Principle (AiP) to MODEC, a global supplier and operator of offshore floating platforms, and Toyo Engineering Corporation (TOYO), a Japan-based engineering firm, for their Blue Ammonia Floating Production Storage and Offloading (FPSO) unit.
The Blue Ammonia FPSO, designed by MODEC and TOYO, produces blue ammonia using gas sourced from a nearby oil and gas FPSO. The process involves combining hydrogen, a by-product of captured and stored carbon dioxide (CO2), with nitrogen to produce blue ammonia, a low-carbon form of ammonia.
Under the newly approved FPSO design, a carbon capture and storage (CCS) system will capture and store the CO2 emissions generated during the process of conversion of the gas into blue ammonia. It will also capture emissions produced by the gas turbine generators to minimise the greenhouse gas (GHG) profile of ammonia production. The FPSO will store and offload the blue ammonia produced through this process, providing a floating solution for the production of alternative fuels for the maritime sector.
The design of the FPSO vessel includes its hull, which was developed in partnership with Mitsubishi Shipbuilding.
In August 2024, the Japanese shipping giant Mitsui OSK Lines (MOL) increased its stake in MODEC to 15%. MODEC, which specialises in the engineering, procurement, construction, and installation (EPCI) of FPSO systems, regards the latest AiP from ABS as an important milestone in the commercialisation of floating alternative energy production solutions.
ABS is the leading classification provider for the majority of the world’s FPSO’s, including both conversions and new builds. Miguel Hernandez, Senior Vice President, Global Offshore at ABS, commented on the AiP: ‘Blue ammonia has significant potential to lower the emissions of offshore operations. ABS is able to harness its extensive experience offshore alongside its global leadership in the classification of FPSOs to support the development of this potentially game-changing technology.’
Increasing regulatory pressure on international shipping to adopt low- and zero-carbon fuels makes this development a significant milestone in making blue ammonia viable as a maritime fuel. As Eiji Hosoi, TOYO President and CEO, noted on the AiP award: ‘The innovative design of the ammonia FPSO enables offshore production of blue ammonia, a low-environmental impact fuel that is expected to contribute significantly to mitigating global warming. By advancing the efficient use of resources and supporting the transition to a decarbonised society, we remain committed to driving sustainable solutions for the future.’
Koichi Matsumiya, MODEC, Executive Officer and Group CTO, said: ‘Through this development, we have explored how we can leverage our expertise in producing low-GHG ammonia, a potential alternative energy source to oil and gas in the global energy mix. However, this development has also made us aware of the significant challenges that need to be tackled to commercialize the concept.’
