MUSCAT: Global investment major Brookfield will help finance the next phase of ACME Group’s green ammonia project in Oman under a new investment of up to $600 million in the Indian clean-energy developer’s green molecules business.
The investment in ACME Cleantech Ventures, announced jointly by Brookfield and ACME on Thursday, will support a portfolio of green ammonia and green methanol developments in Oman and India, marking Brookfield’s entry into the region’s green molecules sector.
ACME Chairman Manoj Upadhyay subsequently said the capital would be deployed across four developments, including Phase 2 of ACME’s green ammonia project at the Special Economic Zone at Duqm, two green ammonia projects in Odisha and a green methanol project in the Indian state.
Phase 1 of the Oman development is already fully funded, Upadhyay said. The roughly $750 million first phase has secured a $500 million-equivalent loan from Indian state-owned infrastructure financier REC and is currently under construction.
Designed to produce 100,000 tonnes of green ammonia annually, Phase 1 will be powered by around 450 MWAC of solar photovoltaic capacity coupled with an 800 MWh battery energy storage system.
Construction is progressing across the renewable power, hydrogen production and export infrastructure components, including a dedicated ammonia export jetty.
Production has been fully allocated under existing offtake commitments. Norway-headquartered Yara has signed a binding long-term agreement to take 100,000 tonnes annually of renewable ammonia from the project, providing ACME with an anchor customer for Phase 1.
The Brookfield funding is therefore particularly significant for ACME’s planned scale-up. Phase 2 is designed to produce around 71,000 tonnes of green hydrogen and 400,000 tonnes of green ammonia annually, with commercial operations targeted for 2030. A similarly sized third phase is scheduled for 2033.
Together, Phases 2 and 3 represent investment estimated at around $4.2 billion and are expected to add 800,000 tonnes per year of green ammonia capacity.
ACME, Hydrom and Oman’s Public Authority for Special Economic Zones and Free Zones signed project development and land usufruct agreements for the two expansion phases in May 2025, formally bringing them within Oman’s national green hydrogen framework.
While Yara’s original 2022 term sheet envisaged the possibility of additional offtake from Phase 2, no binding Phase 2 offtaker has yet been publicly identified.
Brookfield’s investment will be made through its Brookfield Global Transition Fund strategy. The transaction is structured as an equity investment in ACME Cleantech Ventures, with the valuation and the precise stake to be acquired expected to be finalised by year-end.
Brookfield manages more than $1 trillion in assets globally, while its Indian renewable-energy portfolio encompasses about 50 GW of operating and pipeline wind and solar capacity.
The firm said its partnership with ACME combines institutional capital and global scale with ACME’s project-development capabilities to tap growing demand for low-carbon fuels across Asia and Europe.
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