BASF Partners with AM Green: The Indian Market Faces a 1 Billion Ton Low-Carbon Chemical Challenge!

AM Green BV has entered into a cooperation agreement with BASF, a leading global chemical company, aimed at jointly evaluating and developing business opportunities for low-carbon chemicals produced exclusively using renewable energy sources. This collaboration is focused on assessing the potential and viability of these chemicals in the Indian market and their corresponding value chains. Through this collaboration, the two companies hope to drive the production and application of low carbon chemicals in India to achieve sustainability goals.

The official start of this collaboration was marked by the signing of a memorandum of Understanding (MOU) jointly by Dr. Markus Kamieth, CEO of BASF, and Mahesh Kolli, Managing Director of AM Green Group, at the German Business Asia Pacific Conference 2024 in New Delhi. Under the MOU, BASF and AM Green will carry out feasibility studies for low-carbon chemical production in India. This includes joint assessment and evaluation of potential technologies. In addition, a non-binding letter of intent has been signed for the offtake of 1 lak tonnes per annum of ammonia produced entirely using renewable energy, which will be sourced from energy from AM Green's plant pumped storage projects at various locations in India.

The cooperation between BASF and AM Green is not limited to technology assessment and product procurement, but also includes in-depth research on the sustainability of the entire production process. The ammonia will meet standards for renewable fuels from non-biological sources as defined in the EU's Renewable Energy Directive (RED III). Some of AM Green's facilities have already been pre-certified to meet the Renewable Fuel Standard through the CertifHy voluntary certification program, while pre-certification of others is currently underway.

"We are committed to the sustainable transformation of the industries we serve," said Dr. Markus Kamieth. We believe India is the right place to explore low carbon chemical production together with our partner AM Green. Through this collaboration, we hope to drive the production and application of low carbon chemicals in the Indian market to achieve sustainability goals."

Mahesh Kolli said, "AM Green's vision to deepen the downstream value chain capabilities of green molecules is at the heart of the partnership with BASF. Through this collaboration, we hope to work with BASF to provide key green molecular feedstocks for the production of chemicals, materials and products in the markets served by BASF, meeting the needs of multiple chemical downstream and related consumer industries. We believe this collaboration will bring more opportunities for green innovation and sustainability to the Indian market."

Through this collaboration, BASF and AM Green hope to drive the production and application of low carbon chemicals in the Indian market to achieve sustainability goals. This collaboration will not only lead to more business opportunities for both companies, but also more opportunities for green innovation and sustainability in the Indian market.