India Enters Low-Emission Shipping Era with First Ammonia-Powered Bulk Carrier Project

Mumbai, April 08, 2026: Swan Defence and Heavy Industries Limited (SDHI) has secured an order from Energy ONE Limited to build four 92,500 DWT ammonia dual-fuel bulk carriers, marking a significant milestone in India’s transition toward low-emission maritime infrastructure.

The project represents the first instance of ammonia-powered dual-fuel vessels being built in India and is among the largest commercial shipbuilding orders undertaken domestically. It signals a step forward in aligning India’s maritime sector with global decarbonisation goals and sustainable shipping practices.

Designed to reduce greenhouse gas emissions, the vessels will be equipped with ammonia-fuelled propulsion systems, an emerging alternative to conventional fossil fuels in shipping. Each vessel will measure 229.5 metres in length with a beam of 37 metres, combining scale with next-generation clean fuel technology.

The ships will be designed by KMS-EMEC, South Korea, and classed by Det Norske Veritas (DNV), ensuring compliance with international safety and environmental standards.

Vivek Merchant, Director, SDHI, said, “Winning this project is an important step forward for us. It reflects the confidence global stakeholders are placing in Indian shipbuilding, and in the capabilities, we have developed at Pipavav. Ammonia as a marine fuel is still at an early stage, and we are proud to be part of that transition - building vessels that are not just relevant for today but aligned with where the industry is heading.”

The first vessel is expected to be delivered in October 2029, with the remaining ships scheduled at four-month intervals thereafter.

The order aligns with broader global efforts to decarbonise the shipping industry, which is under increasing pressure to adopt cleaner fuels and reduce emissions. Ammonia, as a zero-carbon fuel at the point of use, is gaining traction as a viable alternative for long-haul maritime transport.

Energy ONE Limited, acting as a General Partner for the New Energy One (NEO) investment fund, is supporting green shipping investments with a planned capital programme of USD 2 billion focused on zero-emission vessels. The fund is also collaborating with Sagarmala Finance Corporation Ltd. to co-invest in sustainable maritime projects.

The project underscores India’s growing capabilities in advanced shipbuilding and its role in enabling the global shift toward environmentally responsible and future-ready shipping solutions.