NORWEGIAN fertiliser maker Yara International has raised doubts over its green ammonia pipeline as it tries to cut costs and restore profitability.

The world’s second-biggest ammonia producer posted a $290m net loss for the fourth quarter, as underlying operating earnings fell 10% year on year to $519m on lower fertiliser prices.

The company, which has promised to supply green ammonia as zero-carbon shipping fuel, in October shelved its “low-value” green hydrogen projects in Porsgrunn and Sluiskil in Norway.

It is cutting jobs and divesting unprofitable projects, promising “strict capital discipline, repositioning capex towards higher-return investments”.

Yara’s Clean Ammonia segment continues to work on shipping projects.

On Monday, it announced a time charter for an ammonia-fuelled medium gas carrier — the world’s first — with Japanese shipowner NYK, to be delivered in 2026.

Yara said the charterparty would give it “great flexibility to manage carbon emissions and product carbon intensity” as it sought to start a green supply chain for ammonia.

The two companies have been working together on ammonia fuel since 2021.

NYK managing executive officer Hironobu Watanabe said: “We have been developing an ammonia-fuelled vessel because we believe that using alternative fuels, especially ammonia, is essential to reaching the net zero goal.”

Watanabe said NYK would continue to work with Yara on an ammonia supply chain from various aspects, not only maritime transport of ammonia.

Companies mothballed large numbers of green hydrogen and ammonia projects in 2024 amid high power costs and lack of guaranteed offtake buyers.