Norway-based ammonia fuel pioneer Amon Maritime has entered into a joint venture with Navigator Gas, operator of the world’s largest handysize liquefied gas carrier fleet, to build two next-generation ammonia-fuelled gas carriers.
Under the terms of the agreement, Navigator Gas will own approximately 80% of the newly formed joint venture company, Navigator Amon Shipping AS, while Amon Maritime will retain a 20% stake. The JV marks a strategic step toward decarbonizing maritime shipping through the construction of two ammonia-fuelled vessels, each with a cargo capacity of 51,530 cubic meters. The vessels will also be capable of transporting liquefied petroleum gas (LPG).
The ships are scheduled for delivery in June and October 2028, following contracts signed with Chinese shipbuilder Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. The average cost per vessel stands at $84 million.
Each vessel has secured a NOK 90 million (~$9 million) investment grant from Enova, the Norwegian government agency supporting energy innovation. This public funding reinforces Norway’s commitment to enabling green energy solutions across hard-to-abate sectors like shipping.
The joint venture expects the majority of vessel financing to come from commercial bank loans. The remaining capital will be contributed by the partners in proportion to their ownership. Navigator Gas has confirmed it will fund its share using available cash resources, and it anticipates the investment will be accretive to its future earnings.
Once delivered, both vessels will operate under long-term time charters, each spanning five years. The vessels are expected to serve a major, unnamed industry player with established ammonia logistics needs. These contracts are already secured, subject to standard closing conditions.
Mads Peter Zacho, CEO of Navigator Gas, emphasized the importance of this move for both environmental compliance and long-term growth:
“Expanding our fleet with two modern ammonia carriers capable of using clean ammonia as a fuel, operating in a long-term time charter, is a strategic enabler in meeting the growing demand for a sustainable fuel source in a net-zero economy. These modern vessels will be equipped with newly developed technologies that comply with present and future environmental regulations and will thereby deliver great value to both our customers and our shareholders.”
For Amon Maritime, the deal marks a milestone in its founding mission to pioneer ammonia-based propulsion.
André Risholm, CEO of Amon Maritime, said:
“Amon Maritime was founded with a vision to lead the green shift in shipping by pioneering the use of ammonia fuel. We are proud to realize this vision alongside our forward-looking and competent partners in Navigator Gas, serving ammonia-powered transportation services to market leaders. We are very satisfied to expand and strengthen our relationship with Navigator Gas further by constructing and operating these vessels.”
The newbuilds will significantly contribute to decarbonizing maritime transport, especially for customers looking to reduce the carbon intensity of their supply chains. As regulations tighten and emissions limits shrink, interest in ammonia as a zero-carbon fuel is gaining traction. Unlike LNG or conventional marine fuels, ammonia can be used without emitting carbon dioxide, making it a compelling solution for long-haul maritime applications.
The vessels’ dual capability—carrying both ammonia and LPG—adds flexibility for charterers, especially in a market where ammonia trade flows are evolving with new green ammonia production hubs.
Navigator Gas, listed on the New York Stock Exchange under the ticker NVGS, currently operates a fleet of 58 liquefied gas carriers, including 27 ethylene and ethane-capable vessels. The company also owns 50% of an ethylene export terminal at Morgan’s Point, Texas. Known for its specialized floating pipelines, Navigator Gas serves energy companies, traders, and industrial consumers globally.
Amon Maritime, meanwhile, continues to advance ammonia-powered vessel development and associated infrastructure. With its privately held structure and backing from Mosvolds Rederi of the Glastad Group, the company positions itself at the forefront of zero-emission maritime innovation.
As more ports prepare for ammonia bunkering and engine technologies mature, joint ventures like this point toward a practical, scalable route to emissions-free shipping.
