Kakinada Set to Host India’s First Mega Green Ammonia Plant

Andhra Pradesh is taking a decisive step towards a clean energy future. As part of the AP Integrated Clean Energy Policy 2024, Chief Minister Chandrababu Naidu will lay the foundation stone for a large scale green ammonia plant in Kakinada. The Chief Minister will also address the gathering. Deputy Chief Minister Pawan Kalyan will accompany him at the event.
This environment friendly project is being developed by AM Green, a company of the Greenko Group. The Andhra Pradesh government granted approvals for the project in January last year. The plant involves an investment of Rs 13,000 crore and will have an annual production capacity of 1.5 million metric tonnes of green ammonia.
Green ammonia marks a major shift in industrial fuel technology. Unlike grey or blue ammonia which are produced using coal oil or natural gas, green ammonia is manufactured using renewable energy. It produces no carbon emissions. As countries across the world accelerate their move towards decarbonisation and net zero targets, green hydrogen and green ammonia are increasingly seen as fuels of the future. In this backdrop, the AM Green project in Kakinada is expected to place India firmly on the global clean energy map.
The project involves redeveloping the existing grey ammonia plant of Nagarjuna Fertilisers and Chemicals Limited into a green ammonia facility. This brownfield conversion will be carried out across 495 acres with modern clean energy technology. The plant is expected to generate employment for nearly 2,600 youth and is scheduled to begin production by the end of 2027.
The location of the plant near Kakinada port provides a strong advantage for exports. AM Green has already entered into an agreement with Germany based Uniper SE to export 125 kilo tonnes of green ammonia every year starting from 2028. This long term agreement underlines the global demand for clean fuels produced in India.
The project is being developed with support from leading international partners including Malaysia based Petronas, Singapore based GIC, and UAE based Abu Dabhi Investment Authority. Their participation is expected to bring global attention and credibility to the project.
In addition to the green ammonia plant, AM Green is also setting up a 2 gigawatt electrolyser manufacturing unit in Kakinada. This facility involves an estimated investment of Rs 2,000 crore and will further strengthen Andhra Pradesh’s position as a clean energy hub. With this landmark initiative, Andhra Pradesh is signalling its commitment to sustainable growth.
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