ADB and Japan Back AM Green’s 1.1 Million-Tonne Green Ammonia Project at Kakinada with a $100 Million Loan
The Asian Development Bank (ADB) and the government of Japan have signed financing agreements with AM Green Ammonia (India) Pvt Ltd, including a $100 million loan from the Leading Asia's Private Infrastructure Fund 2 (LEAP-2). LEAP-2 is financed by the Japan International Cooperation Agency (JICA) and administered by ADB.
AM Green is converting a former natural gas-based ammonia and urea complex in Kakinada, Andhra Pradesh, into a renewable-powered green ammonia facility. Once fully developed, it is expected to produce about 1.1 million tonnes of green ammonia a year, built in two phases of 547.5 kilotonnes each. Phase 1 includes the first production train and utilities shared by both phases; Phase 2 will follow once AM Green secures more long-term offtake agreements. It is the first project under ACCEL (Action for Creating Energy Security for Long-term Resilience) programme.
"Ammonia is used every day to produce the fertilizer that helps feed the world," said ADB President Masato Kanda. "This project changes how we make it."
What it means for buyers and suppliers
Multilateral lending makes the first phase more bankable, and Phase 2 depends on firm buyers — so long-term offtake contracts are the item to watch. Fertiliser and chemical makers looking for low-carbon ammonia now have a named Indian source taking shape; suppliers of electrolysers, compressors, storage and port services should follow the construction schedule.
Source: Chemical Industry Digest (17 October 2026). Photo: Kakinada port, Andhra Pradesh, seen from the beach. Adityamadhav83, CC BY-SA 4.0, via Wikimedia Commons.
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