Keppel Corporation Limited (Keppel), through its infrastructure division, and AM Green, wholly owned by Hyderabad-based Greenko Group, have signed a deal to jointly explore opportunities to produce biogenic carbon-based sustainable fuels, such as bio and green methanol, second-generation (2G) ethanol and sustainable aviation fuel (SAF).
The deal was signed at COP28 in Dubai. The two parties will jointly identify, evaluate and co-develop projects in Southeast Asia and the Middle East, which can harness and aggregate at least one million tons of biogenic carbon dioxide (CO2) per year to be used for the production of sustainable fuels in AM Green’s plants. These sustainable fuels can serve as an environmentally sustainable alternative to fossil fuels to support the decarbonisation of heavy industrial operations.
In addition, Keppel and Greenko will also identify areas for collaboration in the value chain of a bio-methanol project in India. The project aims to produce 5,00,000 tons of bio-methanol annually. Biofuels, which are derived from organic material such as plant and animal biomass, make up the largest source of renewable energy in use globally, accounting for 55% of renewable energy and over 6% of the world’s energy supply. The production and combustion of sustainable fuels significantly reduce greenhouse gas emissions, making them effective cleaner sources of energy.
The press release stated that Keppel currently operates a 2,73,750 ton per year anaerobic digestion and composting plant in Qatar, which was designed and built by Keppel in 2012. This composting plant has the capacity to generate close to 1,10,000m3 of biogas daily, which is converted into green electricity for operational use, as well as export to the grid. Keppel is also involved in industrial carbon-capture feasibility studies for waste-to-energy facilities in Singapore and the United Kingdom.
Cindy Lim, CEO of Keppel’s Infrastructure Division said, “Biofuels have an important role to play in decarbonising industrial operations and the aviation sector. Keppel’s experience in handling and treating domestic waste and organic feedstock, as well as our know-how in effective carbon cycling will benefit this collaboration with AM Green. This partnership aims to spur the development of next-generation biofuels and sustainable aviation fuel in the region, which can serve as substitutes for fossil fuels”.
Mahesh Kolli, President of AM Green added, “We are excited to partner Keppel for this pioneering collaboration, which will propel the transformation of India towards being an exporter of renewable-energy derived products such as green methanol and SAF. AM Green will utitlise Greenko’s Intelligent Renewable Energy Storage Platform (IRESP) in the global efforts to combat climate change, and get established as a reliable, sustainable source of low-cost green molecules to catalyse India’s and the world’s decarbonisation”.
The partnership is an extension of the collaboration between Keppel and Greenko that was signed in October 2022 to explore the feasibility of jointly developing a green ammonia production facility of at least 250,000 tonnes per year in India. The facility is envisaged to be powered by a portfolio of up to 1.3 GW of solar and wind energy projects, firmed by pumped hydro-storage.
