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ABB has entered into a term sheet agreement with Rotterdam-based SwitcH2 to provide automation and electrification technologies for a groundbreaking Floating Production, Storage, and Offloading (FPSO) unit designed to produce green ammonia from green hydrogen. The project aims to meet the growing global demand for low-carbon marine fuels.
The SwitcH2 FPSO, to be stationed off the coast of Portugal, will operate entirely on renewable electricity supplied through a certified Power Purchase Agreement (PPA) with the national grid. The floating facility will feature a 300 MW electrolyzer, capable of producing up to 243,000 tonnes of green ammonia annually.
Under the agreement, ABB will deliver a prefabricated eHouse, electrical distribution systems, and its ABB Ability™ System 800xA Integrated Control and Safety System (ICSS) — all equipped with advanced cybersecurity features. These modular, plug-and-play systems are designed to enhance operational safety, reliability, and efficiency in the offshore environment. ABB’s integrated solutions will seamlessly connect with third-party equipment, including electrolyzers and ammonia synthesis units.
“This collaboration marks a significant milestone in advancing offshore production for next-generation marine fuels,” said Saskia Kunst, CEO of SwitcH2. “By incorporating ABB’s leading automation and electrification technologies, we’re proving how innovation-driven partnerships can accelerate the energy transition and shape the future of clean energy at sea.”
The FPSO will use treated seawater in an electrolysis process to produce green hydrogen, which will then combine with nitrogen extracted from the air to synthesize green ammonia. The resulting ammonia will be condensed, stored onboard, and later transferred via floating hoses to carrier vessels for transport to shore. Once delivered, the ammonia can serve as a carbon-free marine fuel or be reconverted into hydrogen for industrial applications.
Green ammonia is increasingly seen as a viable path toward decarbonizing hard-to-abate sectors, particularly shipping, which accounts for roughly 2% of global greenhouse gas emissions.
“We are committed to helping the maritime industry operate more sustainably,” said Per Erik Holsten, President of ABB’s Energy Industries division. “Our cutting-edge electrification and automation solutions will help ensure maximum efficiency. Green ammonia presents a practical route to decarbonize marine transport, and this FPSO demonstrates how renewable power can be harnessed to build a new low-carbon energy value chain.”
The project’s Front-End Engineering and Design (FEED) phase is set to continue through summer 2026, with a Final Investment Decision (FID) expected in the third quarter of 2026. Full-scale engineering and construction are planned to commence in 2027.
