NYK Bulkship (Asia) Pte. Ltd. (NBAsia), part of the NYK Group, secured a time-charter agreement with JERA Co., Inc. for two very large gas carriers (VLGCs) to transport low-carbon ammonia from the United States to Japan. This contract builds on a previous memorandum of understanding signed in 2022 and heads of agreements finalized in late 2025, marking a significant step in ammonia’s role as a clean energy carrier.
The two VLGCs will facilitate the shipment of low-carbon ammonia produced in Louisiana to JERA’s Hekinan Thermal Power Station in Aichi Prefecture. JERA plans to begin commercial operation of large-scale ammonia co-firing at the plant by around fiscal year 2029, aiming to substitute 20% of the station’s heat value with ammonia fuel. This initiative represents the first scheduled delivery of low-carbon ammonia for power generation in Japan.
Ammonia, traditionally used in fertilizers and chemical production, is increasingly recognized as a promising carbon-free energy source. Its potential extends beyond power generation to marine fuel applications, offering a path to reduce carbon emissions in various sectors.
The vessels contracted for this project were constructed at Kawasaki Heavy Industries’ Sakaide Works and possess specifications designed for these shipments. Each measures approximately 230 meters in length, with a breadth of 37.2 meters and a depth nearing 22 meters, capable of carrying around 87,000 cubic meters of cargo. They are equipped to operate on LPG and very low sulfur fuel oil (VLSFO) in dual fuel mode, providing operational flexibility while supporting environmental initiatives.