MODEC, Toyo Engineering For Blue Ammonia FPSO

MODEC Inc. (MODEC) and Toyo Engineering Corp. (TOYO) have jointly obtained an Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for a blue ammonia Floating Production Storage and Offloading (FPSO) vessel. Blue ammonia is a type of ammonia that is produced using natural gas where carbon dioxide (CO₂) emissions have been mitigated by carbon capture and storage (CCS) or similar technologies.

This Blue Ammonia FPSO is intended to produce and store blue ammonia by using associated gas which has conventionally been reinjected into the reservoir without specific applications. The FPSO is also equipped with a CCS facility to capture CO₂ generated in the process of converting associated gas to ammonia and CO₂ from gas turbine generators, minimizing CO₂ emissions from the FPSO during ammonia production. Additionally, the hull, which stores and offtakes the produced ammonia, was developed in collaboration with Mitsubishi Shipbuilding Co. Ltd.

This joint development is positioned as the first “Concept Design of Floating Alternative Energy Production Facility” as stated in MODEC’s mid-term business plan for 2024 through 2026 titled “explore a Sustainable Future with Innovation.” The concept of producing blue ammonia offshore is achieved by combining MODEC’s layout, hull design, and mooring technology, cultivated in oil & gas FPSO projects, with TOYO’s ammonia production process design and FPSO equipment design. This blue ammonia is expected to serve as an alternative fuel and hydrogen carrier in the energy transition.

MODEC considers this AiP as an initial step in the development of a floating solution for alternative energy production and will continue to strive to refine and mature this concept to address the key challenges for commercialization identified through this development, aiming to provide a safe and affordable alternative energy supply solution. The company said that it will contribute to the minimization of CO₂ emissions from FPSOs and the decarbonization of the global energy supply chain through developing new technologies for a sustainable future.