ABB signed a term sheet agreement with SwitcH2 to design and supply automation and electrification solutions for SwitcH2’s floating production, storage, and offloading (FPSO) unit dedicated to producing green ammonia from green hydrogen, to support the future demand for low-carbon marine fuels.
The FPSO facility will be located off the coast of Portugal and will be powered by certified renewable electricity from the national grid under a power purchase agreement. It will feature a 300 MW electrolyzer with the potential to produce up to 243,000 tonnes of green ammonia per year.
As part of the terms and conditions agreement, ABB intends to supply a prefabricated eHouse, electrical distribution systems, and the ABB Ability System 800xA Integrated Control and Safety System (ICSS) with full cybersecurity integration. These modular, ready-to-deploy systems will help ensure safe, efficient, and reliable offshore operations. The solutions will be fully integrated with third-party equipment, such as electrolyzers and ammonia synthesis units.
“This collaboration represents a key step in advancing offshore production capabilities for next-generation marine fuels. By integrating ABB’s advanced electrification and automation systems, we demonstrate how technology partnerships can accelerate innovation and shape the future of energy at sea,” said Saskia Kunst, chief executive officer of SwitcH2.
The FPSO will use treated seawater and electrolysis to produce green hydrogen, which will be combined with nitrogen extracted from the air to create green ammonia. Once synthesized, the ammonia will be condensed and stored on board. It will then be transferred to transport vessels via a floating hose system for shipment to ports where it can be used as a marine fuel or converted back into hydrogen for industrial use.
Green ammonia is emerging as a scalable solution for decarbonizing hard-to-abate sectors, such as shipping, which contributes approximately 2% of global greenhouse gas emissions 1.
“Like other hard-to-abate industries, we are committed to helping the maritime sector operate more efficiently and cleanly. Our leading automation and electrification technologies will enable this project to be executed with greater efficiency. Green ammonia offers a technically viable method to decarbonize shipping, and this FPSO concept demonstrates how renewable energy can be harnessed to power low-carbon energy value chains,” said Per Erik Holsten, president of the Energy Industries division at ABB.
Initial engineering and design work (FEED) is expected to last until the summer of 2026, with the Final Investment Decision (FID) expected in the third quarter of 2026. Detailed engineering and construction will take place in 2027.
