L&T Energy GreenTech and Japan’s ITOCHU Join Forces to Build 300 KTPA Green Ammonia Facility in Kandla, Gujarat

New Delhi. August, 14 2025

L&T Energy GreenTech Ltd (LTEG), a wholly-owned subsidiary of Larsen & Toubro (L&T), has signed a Joint Development Agreement (JDA) with Japan’s ITOCHU Corporation to develop and commercialize a 300 KTPA green ammonia project at Kandla, Gujarat. This landmark collaboration is set to position India as a major player in the global green ammonia market, with the output earmarked for Singapore’s maritime sector to support decarbonization in global shipping.

Driving Maritime Decarbonization

The project will produce green ammonia—an emerging zero-emission marine fuel—for bunkering applications in Singapore, directly contributing to the International Maritime Organization’s (IMO) decarbonization targets. By replacing conventional marine fuels with green ammonia, the initiative will play a pivotal role in reducing the shipping industry’s carbon footprint while supporting the broader global energy transition.

Kandla: India’s New Green Ammonia Hub

Situated on India’s west coast, Kandla offers strategic advantages for large-scale green energy production and export. L&T had previously acquired a sizeable land parcel at Kandla for green hydrogen and green ammonia projects, and this development strengthens its long-term vision of building a presence across the entire green energy value chain. Leveraging abundant renewable resources, competitive electricity costs, and the policy momentum under India’s National Green Hydrogen Mission, the facility is poised to become a key export hub.

A Strategic Global Partnership

ITOCHU, a major Japanese trading company with deep experience in energy infrastructure, is actively developing a global clean ammonia supply chain. The company has already commissioned an ammonia bunkering vessel for a demonstration project in Singapore, and this partnership with LTEG will secure a reliable, long-term supply of green ammonia to fuel the maritime sector.

Leaders Speak

Subramanian Sarma, Deputy Managing Director & President, L&T:

“As the global energy landscape shifts decisively towards sustainability, L&T remains deeply committed to driving the clean energy transition through innovation, strategic partnerships, and engineering excellence. The partnership with ITOCHU reflects our vision of enabling a cleaner, greener future through a sustainable business focus.”

Hiroyuki Tsubai, Executive Vice President, Member of the Board, President, Machinery Company of ITOCHU Corporation:

“Through this joint development with one of the largest and most respected companies in India’s private sector, our initiatives to introduce low-carbon ammonia to the maritime sector as an alternative zero-emission fuel will be reinforced. Kandla will become the principal production centre of green ammonia for our bunkering operations in Singapore.”

Derek M. Shah, CEO & MD, L&T Energy GreenTech:

“Partnerships like these will not only fast-track the clean energy transition but also unlock indigenous technology leadership, create green jobs, and strengthen our long-term energy security. At L&T, we see such collaborations as catalysts for building a cleaner, more resilient, and sustainable future.”

National and Global Impact

India’s National Green Hydrogen Mission envisions a production capacity of at least 5 MMTPA by 2030, attracting investments exceeding USD 100 billion. This joint development project aligns perfectly with that ambition, bringing together Indian engineering excellence and Japanese global trade expertise to accelerate the shift towards sustainable maritime fuels.

With Kandla emerging as a key green ammonia hub, the L&T–ITOCHU partnership signals a new era of cross-border collaboration aimed at achieving net-zero targets, enhancing energy security, and building a future-ready clean energy ecosystem.