ICL has announced the signing of a new joint venture with AFC Energy plc, a provider of hydrogen power generation technologies. Together, the companies will deploy green hydrogen production from ammonia using AFC Energy’s proprietary cracking technology, supported by ICL’s extensive chemical industry expertise, logistics network, and customer base.
This collaboration represents a significant milestone for both companies, and for the future of clean energy in the UK.
Why this matters
Hydrogen is widely recognised as a cornerstone of the UK’s net zero ambitions. However, its adoption has often been challenged by high costs, infrastructure requirements, and reliance on government subsidies.
This joint venture between ICL and AFC Energy addresses these barriers head-on. By harnessing ammonia – already a globally traded commodity with established transport and storage infrastructure – the companies can provide customers with cost-effective, low-carbon hydrogen without the need for large scale, capital-intensive domestic hydrogen facilities.
Ammonia serves as an efficient hydrogen carrier. When 'cracked' using AFC Energy’s technology, it provides a clean and reliable hydrogen supply chain that can be deployed flexibly across industries.
Key features of the joint venture
- 50:50 partnership: combining ICL’s knowledge of chemical markets and manufacturing capabilities with AFC Energy’s ammonia cracking systems.
- Market disruption: hydrogen will be produced and sold at competitive prices designed to disrupt the UK market – without reliance on subsidies.
- Scalable production: starting at up to 400 kg/day of hydrogen, with expansion through AFC Energy’s containerised Hy-5 crackers capable of producing up to 500 kg/day each.
- Enabling net zero: by reducing upfront infrastructure costs and leveraging existing global ammonia trade, this joint venture supports the UK’s long-term decarbonisation strategy.
The role of ICL
For decades, ICL has been at the forefront of the UK chemical industry, providing manufacturing, logistics, and supply chain expertise across multiple markets. This partnership allows us to apply that experience in a new and impactful way – driving industrial decarbonisation through practical innovation.
The company's role will include:
- Procuring and managing ammonia supply.
- Leveraging our logistics infrastructure to ensure safe and efficient transport.
- Connecting hydrogen production to our extensive customer base.
By integrating these strengths with AFC Energy’s proprietary technology, ICL aims to deliver not only clean hydrogen but also confidence, reliability, and scalability to the businesses that depend on it.
Looking ahead
The energy transition demands solutions that are not only sustainable but also economically viable. This partnership between ICL and AFC Energy demonstrates that innovation, when paired with industry expertise, can unlock new pathways to net zero.