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ABS has taken a significant step in the energy transition by granting approval in principle to SBM Offshore for its pioneering blue ammonia floating production storage and offloading (FPSO) concept. This innovative design is set to transform offshore natural gas into ammonia, integrating advanced carbon capture and storage (CCS) technology to mitigate emissions. As a versatile energy carrier, the ammonia produced will serve multiple markets, including power generation and maritime transportation, positioning it as a key player in the global ammonia industry.

Miguel Hernandez, ABS’s Senior Vice President of Global Offshore, emphasized the rapid innovation surrounding ammonia as an alternative fuel, whether as a hydrogen carrier or as a standalone fuel. He expressed pride in collaborating with SBM Offshore, leveraging ABS's extensive expertise in ammonia safety and FPSO operations. This partnership aims to address the pressing challenges associated with ammonia production and its applications in decarbonization efforts.

SBM Offshore views this FPSO concept as a milestone in its “true blue” transition strategy, which aims to utilize its ocean infrastructure expertise to deliver low-carbon solutions. Olivier Icyk, Chief Business Officer at SBM Offshore, highlighted that this blue ammonia FPSO is a pivotal moment in the company's journey to diversify and decarbonize. By opening new markets within the blue economy, the initiative promises to deliver sustainable value and contribute to the ongoing energy transition.

The integration of CCS technology within this FPSO design effectively tackles a significant barrier to scaling ammonia production as a low-carbon energy source. The approval from ABS not only adds momentum to SBM Offshore's goal of achieving net zero emissions by 2050 but also reflects a growing industry interest in offshore ammonia production as a strategy to diversify energy supply chains while adhering to carbon reduction targets.

With this groundbreaking approval, SBM Offshore is poised to lead the charge in FPSO innovation, moving beyond traditional oil and gas production toward versatile and decarbonized offshore energy solutions. The blue ammonia production facility represents a critical advancement in the strategic path toward a sustainable future, reinforcing the company’s commitment to pioneering low-carbon energy technologies while meeting the world’s evolving energy needs.