Malaysia’s MISC and China Offshore Engineering & Technology Company Limited have received the approval in principle from the American Bureau of Shipping (ABS) for their design of an ammonia FPSO unit.
This floater solution adapts proven onshore production technology for offshore operations, transforming unutilised hydrocarbon gas from nearby offshore facilities into blue ammonia, which is stored onboard at cryogenic conditions.
This initiative is jointly developed by MISC and China Offshore in collaboration with ammonia technology licensors KBR and LNT Marine.
This standalone facility provides a viable pathway for upstream developers to monetise gas that would otherwise be reinjected. This shortens the ammonia supply chain and improves its well-to-gate carbon emission profile.
The ammonia FPSO will receive feed gas from a nearby host facility, such as an oil-producing FPSO. Once storage is near capacity, the liquid ammonia can be directly exported to liquid ammonia carriers. The topside plant can produce clean ammonia with 99.8% purity.
The project is currently in the pre-FEED phase, which includes a thorough assessment of capital and operating expenditures, scheduled for completion in the first quarter of 2026. The facility is designed for an annual production capacity of 1m tonnes of liquid ammonia.
“This new concept is a result of strategic collaboration that drives impactful change that is needed in our industry. By adapting a proven onshore technology for offshore use, we are not just creating a new concept, we are supporting the offshore industry to achieve its lower carbon ambitions,” said Zahid Osman, president and group CEO of MISC.
