JERA and ExxonMobil enter agreement for low-carbon hydrogen and ammonia project

It is expected to start production in 2028.

Japan’s JERA and ExxonMobil entered a Project Framework Agreement to collaborate on the potential development of a low-carbon hydrogen and ammonia production project in the United States.

In a statement, JERA said ExxonMobil is developing a low-carbon hydrogen production plant at its Baytown Complex in Houston, Texas.

The project is poised to be the world’s largest with an expected annual production capacity of around 900,000 tonnes of low-carbon hydrogen, and over a million tonnes of low-carbon ammonia.

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Under the partnership, they will look into JERA’s ownership participation in the project and the company’s procurement of around 500,000 tonnes annually of low-carbon ammonia for Japan. 

“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 decarbonized society.”