ExxonMobil and Marubeni Collaboration for Low-Carbon Ammonia Supply in Japan
Key Ideas
  • ExxonMobil and Marubeni collaborate on a Texas project to supply 250,000 metric tons a year of low-carbon ammonia to various industries in Japan.
  • The project in Baytown aims for significant carbon capture with hydrogen production, benefiting sectors like steel, chemicals, and transportation.
  • Japanese companies Marubeni, Mitsubishi, and JERA are involved in agreements to utilize low-carbon ammonia for decarbonization efforts in various sectors.
  • Partnerships like these aim to establish a global low-carbon ammonia supply chain, supporting Japan's decarbonization goals and creating job opportunities.
Exxon Mobil Corp. and Marubeni Corp. announced a collaboration for Marubeni to purchase 250,000 metric tons of low-carbon ammonia annually from ExxonMobil's planned project in Baytown, USA. The project also includes the production of low-carbon hydrogen and over 1 million metric tons of low-carbon ammonia per year. The hydrogen produced will be used to manufacture ammonia, essential for industries like fertilizers, plastics, explosives, and chemicals. The facility plans to capture 98% of CO2 emissions from hydrogen production for sequestration. Marubeni will supply the ammonia mainly to Kobe Power Plant, aiming to reduce CO2 emissions by co-firing low-carbon ammonia with existing fuel. This initiative targets decarbonization in hard-to-abate sectors in Japan, such as steel, chemicals, and transportation. Mitsubishi and JERA are also part of similar agreements to utilize low-carbon ammonia for industrial applications in Japan, supporting the country's decarbonization goals and promoting renewable energy sources. The collaborations aim to establish a global low-carbon ammonia supply chain, creating opportunities for strategic decarbonization in Japan and Southeast Asia. Partnerships like these present a positive outlook by supporting decarbonization efforts, boosting global energy supply, and creating job opportunities, while emphasizing the utilization of low-carbon solutions for a more sustainable future.
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