AVTL to Establish India’s First Independent Ammonia Terminal in Pipavav

AVTL to Establish India’s First Independent Ammonia Terminal in Pipavav

William Faulkner 23-Jun-2025

AVTL will build India’s first independent ammonia terminal at Pipavav by 2026, supporting fertilizer imports and future green ammonia exports. With a 36,000-ton capacity and EUR 53 million investment, the project aligns with energy transition goals. Vopak, holding 42.23% in AVTL, brings global ammonia infrastructure expertise to the venture.

AVTL is set to develop a brownfield ammonia terminal at Pipavav, marking a significant milestone as India’s first independent ammonia storage facility. This terminal will play a crucial role in facilitating ammonia imports, primarily catering to India’s vast fertilizer sector, which relies heavily on ammonia as a core input. In addition to serving the agricultural industry, ammonia is also increasingly recognized as a vital energy carrier for hydrogen, further enhancing its relevance in the global energy transition.

Designed as an independent, third-party storage terminal, the facility will feature a substantial storage capacity of approximately 36,000 metric tons. Its development underscores AVTL’s commitment to supporting future-oriented energy infrastructure. Once operational, the terminal is expected to enhance connectivity to international ammonia markets, offering customers improved access and flexibility. Importantly, the terminal will also be capable of supporting exports of green ammonia in the coming years, aligning with broader sustainability and decarbonization goals.

The project represents a strategic investment of around EUR 53 million (equivalent to INR 5.3 billion), which will be entirely funded by AVTL. This investment reflects the company’s forward-looking approach and its intent to position itself as a key player in India’s evolving energy landscape. The terminal is slated for commissioning by the end of 2026.

AVTL recently completed its Initial Public Offering (IPO), reinforcing its financial strength and providing a solid foundation for undertaking large-scale infrastructure projects such as this. A notable aspect of the project is the involvement of Royal Vopak, a global leader in tank storage, which holds a 42.23% stake in AVTL. Vopak’s participation brings significant strategic value and expertise to the venture.

Globally, Vopak operates six ammonia storage facilities and continues to expand its footprint in industrial and gas infrastructure, particularly projects related to the energy transition. The new Pipavav terminal is well aligned with Vopak’s vision and supports its ambition to foster cleaner energy solutions. Through this collaboration, AVTL will be able to leverage Vopak’s international experience, operational excellence, and industry-leading safety standards.

Overall, the Pipavav ammonia terminal stands as a testament to AVTL’s ambition to contribute meaningfully to India’s energy security and sustainability roadmap. With its dual focus on industrial demand and future green energy applications, the terminal is poised to become a critical hub for ammonia logistics in India and the broader South Asian region.

AVTL, a publicly listed company, stands as India’s largest third-party owner and operator of tank storage terminals for liquefied petroleum gas (LPG) and liquid products by storage capacity, as of December 31, 2024. Together with its subsidiaries, AVTL manages a network of LPG and chemical storage terminals located across six major Indian ports.

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