Hanwha Power Systems and Hanwha Ocean have signed a joint development and collaboration agreement with Baker Hughes, a global energy technology leader, to design and produce ammonia-powered gas turbines for ships. The company announced this during the Baker Hughes Annual Meeting 2025 in Florence, Italy. This groundbreaking collaboration aims at enabling carbon-free ship operations and furthering the global transition to more sustainable maritime transport.

Pioneering the First Fossil Fuel-Free Ships

This collaboration follows Hanwha Group’s ambitious declaration at the Davos Forum in January last year, where the company set its sights on developing the world’s first fossil fuel-free ships. It will combine ammonia gas turbine propulsion systems in LNG carriers and container ships.

The ammonia gas turbines produced under this agreement will use Baker Hughes’ class-leading small-size turbine technology in combination with a novel ammonia combustion system developed by PSM, a Hanwha subsidiary in the United States. These turbines will burn 100% ammonia but can also operate on a blend of natural gas and ammonia. This novel propulsion technology will change the face of the shipping industry, offering a carbon-free alternative for large ship owners.

A New Era for Eco-Friendly Shipbuilding

Hanwha Power Systems and Hanwha Ocean are actively driving the global shift to eco-friendly fuel propulsion for ships. The collaboration with Baker Hughes will speed up the shift to sustainable fuels, helping reduce carbon emissions in shipping.

Executive Director Kim Hyeong-seok, head of Hanwha Power Systems’ Marine Solutions Business Department, said, “The paradigm of switching to lower carbon fuel for ships is the calling of the times, and Hanwha Power Systems will continue to lead the development of innovative technologies for the entire life cycle of eco-friendly ships.”

Also read: Baker Hughes Secures Order for Jafurah Gas Field Expansion in Saudi Arabia

In September 2023, Hanwha Power Systems and Hanwha Ocean received Approval in Principle from the American Bureau of Shipping for applying ammonia gas turbine technology on LNG carriers. Additionally, the collaboration has already made significant progress, with PSM completing its initial high-pressure ammonia combustion tests and Baker Hughes completing turbine feasibility studies in 2024.

Furthermore, as part of the initiative, Hanwha Power Systems, in September 2024 at Gastech, Houston, inked a memorandum of understanding (MOU) with a top European LNG carrier shipping company with plans to retrofit the company’s existing propulsion systems with ammonia gas turbines, among other things, marking a landmark step in using this new technology.

Vesper Energy has completed one of the landmark milestones in its flagship renewable energy initiative by erecting the last module at Hornet Solar in Swisher County, Texas. The project will now be capable of completing its full operation once it has achieved the successful commissioning of over 1.36 million modules.

Hornet Solar to Deliver 600 MW of Renewable Power

Hornet Solar is expected to generate significant renewable energy from the grid across more than six square miles. Once operational, it will generate 600 megawatt alternating current (MWac) of clean energy to power 160,000 homes annually.

Safety and Efficiency Achievements

Juan Suarez, Co-CEO of Vesper Energy, praised the team’s performance in completing the project on schedule and within budget, “The seamless coordination between our team and our EPC partner, Blattner, has enabled us to remain ahead of schedule and on budget while ensuring quality throughout the process.”

He added, “Most notably, the team accomplished this task with zero recordable injuries, underscoring a commitment to safety and excellence.” 

Also read: Vesper Energy secures $592 million investment for Hornet Solar Project 

Innovative Technology at Hornet Solar

The Hornet Solar project uses bifacial photovoltaic modules with a single-axis tracking system. The technology enables the collection of sunlight by both sides of the module, thus maximizing the overall energy collection and efficiency. The project connects to Oncor Electric’s transmission system in Electric Reliability Council of Texas (ERCOT) and also will deliver power to four off-take partners via separate Virtual Power Purchase Agreements (VPPAs).

On Track for Commercialization by Spring 2025

Vesper Energy is targeting full commercialization of the Hornet Solar project by spring 2025. The successful installation of the final module marks a major step toward bringing the 600 MW solar plant online and contributing to the growth of renewable energy in Texas.