Green ammonia certificates open new markets
The energy transition is fostering the emergence of new mechanisms to boost trade in clean fuels. Among these, green ammonia certificates are beginning to solidify as a tool that allows for the certification of sustainable ammonia production without relying on physical delivery, an alternative that is gaining relevance as the global infrastructure continues to expand.
Green ammonia certificates transform trade
Currently, one of the main challenges for the development of green hydrogen and its derivatives lies in the complexity of transporting large volumes between continents. The high costs associated with storage, logistics, and infrastructure slow market expansion during its initial stages.
In this context, green ammonia certificates allow producers and buyers to exchange the environmental value of a given product without having to transport the fuel to its final destination. This way, companies can support their decarbonization strategies while the international supply network continues to develop.
In addition to facilitating new business operations, this mechanism generates economic signals that can encourage investment in projects aimed at increasing the production of clean fuels.
PepsiCo and Envision Energy demonstrate the progress of this model
In this context, PepsiCo and Envision Energy signed an agreement through which the food company will acquire environmental attributes associated with the green ammonia produced by the energy company in China.
The operation began with the allocation of 1,000 tons of environmental attributes and contemplates an additional volume until 2030 that both companies decided to keep under reserve.
The production comes from the Chifeng Net-Zero Industrial Park complex, located in Inner Mongolia. The facility has a capacity of 500 MW and generates approximately 320,000 tons of green ammonia per year.
Envision Energy also announced that it is working on an expansion that will increase production to 1.5 million tons per year by 2028, strengthening its presence in the low-emission fuels market.
Furthermore, PepsiCo has also incorporated environmental attributes from projects developed by TalusAg to support fertilizers used in its agricultural supply chain.
The book-and-claim model is gaining ground in the energy transition
The agreement uses the system known as book-and-claim , a mechanism that separates the physical product from the environmental attributes associated with its manufacture.
Thanks to this model, the buyer obtains a verifiable certificate that proves that an equivalent amount of green ammonia was produced under low-emission standards, even if the fuel consumed comes from another source.
This approach allows producers to market the environmental value of their production while the market develops new logistical routes for the international transport of green hydrogen and other clean fuels.
At the same time, this scheme can help accelerate the adoption of sustainable fuels in energy-intensive industrial sectors.
Standardization will be crucial to building trust
As interest in these types of certificates increases, so does the need to establish homogeneous criteria to verify emissions and validate production processes.
Currently, there are differences between the various certification systems used by international organizations and markets. These variations can make it difficult to compare projects and create uncertainty among investors and buyers.
For this reason, various organizations in the sector are working on common methodologies that will strengthen transparency, improve traceability, and facilitate the recognition of certificates between different regions.
Adopting compatible standards would also promote market interoperability and expand opportunities for international trade in green ammonia.
The certificates support the progress of green hydrogen.
The agreement between PepsiCo and Envision Energy reflects a broader transformation within the energy transition. Green ammonia certificates are beginning to emerge as a tool connecting producers, consumers, and investors during a period of ongoing global infrastructure development.
As demand for green hydrogen and clean fuels increases, these mechanisms could play an increasingly important role in supporting new investments, facilitating international operations, and accelerating the decarbonization of energy-intensive industries.
News of additional interest
Nigeria expands supply of its new Cawthorne crude
State oil company NNPC has launched a new tender to sell a 950,000-barrel cargo of Cawthorne crude, scheduled for shipment at the end of September. The company has also put another 950,000-barrel cargo of Bonny Light up for sale on a FOB basis. Bids must be submitted by August 4. Bonny Light also has a preliminary program of 12 cargoes with a production of approximately 364,000 barrels per day.
Cawthorne began exports in March and is part of Nigeria's strategy to expand its crude oil portfolio, along with Nembe and Utapate. The aim is to strengthen the country's production and exports after several years marked by low investment, oil theft, and operational problems that hampered the industry's performance.
Drought forces protection of Danube nuclear power
Romania carried out a controlled blast on a rocky outcrop in the Danube River to facilitate the flow of water to the Cernavoda nuclear power plant, where only one of its two reactors remains operational. The measure aims to ensure the supply of cooling water amidst a severe drought that is also affecting Hungary. At the same time, the state-owned NNPC is working on the construction of a temporary dam to increase the flow to the plant.
The crisis is also affecting the Paks nuclear power plant in Hungary, which is operating at just over 10% of its capacity due to the low river level. Both countries have increased their reliance on electricity imports as governments, businesses, and households implement voluntary consumption cuts to ease pressure on the grid. Automakers and other companies have also reduced or temporarily halted operations to decrease electricity demand.
Amazon surpasses $3 trillion thanks to AI boost
Amazon reached a market capitalization of over $3 trillion for the first time after its shares hit an all-time high following the release of strong financial results. The surge was driven by robust growth in its cloud computing business, which posted its best performance in more than four years, and by increased investor confidence in its artificial intelligence strategy.
The company also raised its capital expenditure forecast to strengthen its AI infrastructure and sustain the growth of its cloud services. Markets have reacted positively to these investments, unlike what has happened with other major tech companies whose large outlays raised concerns about the impact on their cash flow. With this result, Amazon joins the group of companies that have surpassed the $3 trillion mark in market capitalization.
Oil falls on increased supply and signals with Iran
Oil prices plunged after US President Donald Trump announced he was seeking to resume talks with Iran to try to end the conflict in the Middle East. The market also reacted to the expected increase in supply from OPEC+, which eased concerns about potential supply disruptions. Although Iran denied that negotiations were underway, investors interpreted the announcement as a sign of reduced risk for the energy market.
The drop in oil prices boosted stock markets in the United States and much of Europe by easing inflationary pressures and strengthening expectations of future interest rate cuts. In contrast, technology stocks in Asia fell again due to concerns about the return on large investments in artificial intelligence. Markets are also closely watching the upcoming US jobs report, which could influence the Federal Reserve's decisions.