DAI Infrastruktur GmbH (DAI) enters into a ten-year Green Ammonia purchase agreement with Freepan Holdings Corporation.
DAI announced that it has signed a memorandum of understanding (MOU) regarding a ten-year 800,000 Tonnes p.a. offtake contract with Freepan Holdings Corporation, A full gas value chain energy transition asset owner, developer & operator and trading of LNG and Ammonia.
First orders are expected to be delivered in the first quarter of 2028. The green ammonia will be produced at the company’s project in East Port Said, Egypt, where DAI is currently developing a 2,000,000 Tonnes p.a. capacity, Green Ammonia plant named Ra.
Freepan expects to use the green ammonia for trading to European markets and for mobility applications as maritime fuel for vessels that are going to pass the Suez Channel.
This MOU represents DAI’s second green ammonia offtake, totaling now 1.000.000 Tonnes of green ammonia to be delivered, as planned, after Q1 2028. The total green ammonia production is estimated to reach 1,600,000 Tonnes of green ammonia annually.
DAI’s Ioannis Papassavvas stated: “We at DAI, on behalf of the stakeholders of the Ra green ammonia plant, are more than happy to announce today the signing of this green ammonia agreement together with Freepan. This is the second agreement we have signed so far for the Ra project. We are confident of entering into another MOU later this year, which will cover the entire expected annual production. We do look forward partnering with Freepan on this project as this market continues to develop.”
Freepan’s Panagiotis Natsiopoulos said: “Our company is supporting the energy transition to lower CO2 emissions in the maritime industry. Project Ra, which is planned to provide 800,000 Tonnes of green Ammonia annually to Freepan was selected against a challenging set of ESG criteria, Offering Freepan and the corresponding stakeholders, who understand the significant impact of green ammonia, the prospect of healthy returns and accelerating transition into a CO2 free environment in the shipping industry.”
Source DAI Infrastruktur GmbH