JERA Co., Inc. has entered into a Project Framework Agreement with ExxonMobil to collaboratively explore the potential development of a low-carbon hydrogen and ammonia production project in the US.
ExxonMobil is presently in the process of developing what is anticipated to be the largest low-carbon hydrogen production facility globally at its Baytown Complex in Texas, US.
The plant is projected to have an annual production capacity of around 900,000 tons of low-carbon hydrogen and more than 1 million tons of low-carbon ammonia.
The project is expected to begin production in 2028.
As per the terms of the agreement, JERA and ExxonMobil will investigate:
– JERA’s participation in the ownership of the project.
– JERA’s procurement of approximately 500,000 tons per year of low-carbon ammonia produced by the project to meet demand in Japan.
JERA is actively contributing to the energy transition and is undertaking the challenge of expanding renewable energy and advancing zero-emission thermal power technologies.
In 2020, the company set a goal of achieving net zero CO2 emissions from both domestic and overseas operations by 2050, known as the JERA Zero CO2 Emissions 2050 goal.
JERA remains committed to advancing global decarbonization efforts and addressing energy challenges through the development and growth of low-carbon hydrogen and ammonia supply networks in collaboration with prominent domestic and international partners.
“Cooperation among leading companies is essential to establish supply chains for ammonia, hydrogen, and other products that are key to zero-emission thermal power,” said Steven Winn, JERA’s Senior Managing Executive Officer and Chief Global Strategist.
“We believe that working together with ExxonMobil, who is actively promoting investment in carbon capture and storage (CCS) and hydrogen, will contribute to the transition to a global decarbonised society.”
“Building world-scale projects for new markets requires supply, demand and supporting regulation to all come together in sync,” said Dan Ammann, President of ExxonMobil Low Carbon Solutions.
“We appreciate JERA’s leadership in helping advance the hydrogen economy and see this agreement as an important catalyst.”
Source JERA
