Japan’s JERA joint venture and German energy firm Uniper have collaborated to facilitate the development of up to 8 metric tons of clean ammonia per year and liquified natural gas (LNG) exporting from the United States.
The collaboration will accelerate the supply of zero-carbon fuels from the US for use there and in Europe, Japan and greater Asia. The natural gas is converted to hydrogen and eventually ammonia,
The clean ammonia will be supplied under long-term sale and purchase agreements from a proposed facility on the US Gulf Coast. This facility, which will be developed by JERA Americas and ConocoPhillips, will convert the produced hydrogen to clean ammonia and supply it to JERA and Uniper.
Initially, the primary export market will be Europe. JERA is a joint venture of TEPCO Fuel and Power and Chubu Electric Power.
“JERA is committed to providing cutting edge solutions to the world’s energy issues and is actively working to establish both the ammonia and hydrogen value chains,” Steven Winn, Chief Executive Officer of JERA Americas Inc. based in Houston, Texas said. “The combination of a skilled workforce, plentiful natural gas, abundant renewable resources, deep-water ports, and ideal CCS geology make the US Gulf Coast uniquely advantaged to produce the low carbon fuel to enable the Atlantic and Pacific energy markets transition.
“JERA and ConocoPhillips will be a low-cost ammonia supplier to domestic and international markets,” Wynn added. “We believe this project offers a unique opportunity to support Germany’s decarbonization efforts while advancing ammonia technology development for hydrogen distribution and industrial decarbonization.”
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The firms intend to complete the project engineering study by the end of 2022 and reach commercial operation in the late 2020s. This will include a complete certified carbon capture and storage program.
Ammonia is a key component in agriculture as well as industrial manufacturing.
The firms also are optimizing their LNG portfolio so as to supply additional LNG to Germany, Japan and beyond.