Japanese thermal power producer Jera and Malaysian state-owned oil firm Petronas are planning to study producing and shipping green ammonia and hydrogen produced in Malaysia, possibly for co-firing at thermal power plants in Japan.
Jera and Petronas have signed an initial agreement to start considering co-operation on the development of a green ammonia and hydrogen supply chain, part of their strategies to achieve carbon neutrality by 2050. The deal also covers their possible collaboration on setting up a global LNG bunkering supply network.
The companies plan to produce green ammonia and hydrogen from renewable energy sources such as hydropower without releasing carbon emissions. Petronas is currently manufacturing grey ammonia, Jera said, which produces the fuel from fossil fuels. Further details such as production capacity and targeted commissioning date will be discussed later.
Jera has been stepping up its efforts to introduce more clean energy sources to achieve its net-zero emissions target by 2050, while looking into closing inefficient coal-fired power plants by 2030. The company aims to operate an ammonia-dedicated power plant during the 2040s, after realising a commercial use of the fuel by 2030. The commercial burning of hydrogen at thermal power plants is also targeted for the 2030s.
Japan's 2050 decarbonisation target declared in last October has urged the government to strengthen its energy strategy. The trade and industry ministry on 8 February drafted a roadmap to 2030 and 2050 to boost a use of ammonia as a fuel for power generation and for ships, with 3mn t/yr of use targeted by 2030.
