Japanese firms to conduct feasibility study on hydrogen and ammonia supply chain

Japanese shipping company Mitsui, the Fukui prefectural government, and Hokuriku Electric Power Company are jointly conducting a feasibility study on developing a hydrogen and ammonia supply chain in Tsuruga port using a floating storage unit and regasification (FSRU).

PHOTO: Getty Images

FSRUs are vessels that can transport, store and regasify fuels (ammonia, hydrogen or LNG). After production, the fuel is transported in liquid form to the FSRU where it is stored before being heated onboard, converted into a gas and finally delivered onshore via a pipeline.

The Ministry of Economy, Trade and Industry of Japan has approved a study to assess the potential of hydrogen and ammonia as crucial resources in the shift towards a carbon-neutral era.

A joint study will be conducted to investigate several aspects related to the use of ammonia and hydrogen in the transportation industry. The study will focus on introducing an ammonia FSRU and utilising ammonia supplied through FSRU operations.

Additionally, the study will explore the use of hydrogen to generate power for cargo handling equipment. Mitsui will coordinate the study, with Fukui Prefecture exploring hydrogen-based power generation, and Hokuriku Electric Power researching ammonia utilisation.

The Japanese government's Sixth Strategic Energy Plan highlights the significance of hydrogen and ammonia as key energy resources with the potential to support the country's efforts towards achieving carbon neutrality. The government plans to ramp up hydrogen and ammonia production from current levels of 2 million mt/year to 3 million mt/year in 2030, and potentially to 20 million mt/year in 2050.

By Debarati Bhattacharjee

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