[Asia Economy Reporter Jang Hyowon] Daechang Solution is showing strong performance. It is interpreted that the ammonia distribution business of its subsidiary is gaining attention amid news that Samsung is focusing on clean ammonia and hydrogen infrastructure.
As of 9:26 AM on the 6th, Daechang Solution is trading at 341 KRW, up 6.85% compared to the previous day.
According to a media report the day before, Samsung construction affiliates are known to be focusing on clean ammonia and hydrogen infrastructure. Samsung has long considered the potential of the hydrogen economy, and it is said that they recently gained confidence in the economic feasibility of ammonia.
Ammonia was originally produced as a raw material for nitrogen fertilizer, but recently it has attracted attention as a shortcut to solving technical challenges of hydrogen such as transportation, storage, and co-firing power generation. Gaseous hydrogen has a very large volume and is transported in liquefied hydrogen form, which requires maintaining an ultra-low temperature of minus 253°C. This costs more than hydrogen production. However, liquefied ammonia can be stored at minus 33°C and, unlike easily evaporating liquefied hydrogen, can be stored for over a year. Additionally, ammonia co-firing power generation, which burns ammonia together with coal, is also possible.
Meanwhile, Cryos, a subsidiary of Daechang Solution, operates in the ammonia distribution business. Cryos possesses outstanding technological capabilities in hydrogen, liquefied natural gas (LNG), and ammonia distribution facilities, large-scale ultra-low temperature liquefied gas facilities, and eco-friendly engine fuel supply devices. It is known to be currently the only Samsung Electronics approved supplier in the liquefied ammonia transport tank supply sector.
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