In an effort to advance the development of low-carbon hydrogen and ammonia production, Japanese power generator JERA has announced a partnership with Exxon Mobil. The collaboration aims to explore the development of a project in the United States, aligning with Exxon's plans for the world's largest low-carbon hydrogen production plant at its Baytown Complex in Texas.
JERA is considering investing in the project and intends to purchase approximately 500,000 tons of low-carbon ammonia annually from the plant for use in Japan. This move underscores the increasing global interest in ammonia as a viable energy source due to its lack of carbon dioxide emissions during combustion.
Steven Winn, JERA's senior managing executive officer, emphasized the importance of collaboration among industry leaders to establish supply chains for zero-emission thermal power. He stated, “Cooperation among leading companies is essential to establish supply chains for ammonia, hydrogen, and other products that are key to zero-emission thermal power.”
ExxonMobil Low Carbon Solutions President Dan Ammann echoed this sentiment, highlighting the need for synchronization between supply, demand, and regulation in building large-scale projects for new markets.
Japan, a significant emitter of CO2, has been actively promoting ammonia as an alternative fuel to reduce emissions from coal-fired power plants and other industrial facilities. The country aims to increase its demand for ammonia as a fuel to 3 million tons by 2030, as part of its broader goal to achieve carbon neutrality by 2050.
JERA is scheduled to commence a trial this week at its Hekinan thermal power station, where it will co-fire 20% ammonia with coal. This trial, described as the world's first using a large amount of ammonia at a major commercial plant, has faced criticism from environmentalists who view it as a strategy to prolong the use of coal-fired power generation.
