Mitsubishi Collaborates with Exxon Mobil on Low-Carbon Ammonia Supply Chain from Texas Hydrogen Facility
Key Ideas
  • Mitsubishi Corporation is in talks with Exxon Mobil to acquire equity in and secure ammonia from a hydrogen facility in Texas, aligning with Japan's decarbonization strategy.
  • Exxon Mobil's Baytown facility in Texas aims to be the world's largest hydrogen plant, producing low-carbon ammonia and capturing over 98% of associated CO2 emissions.
  • The project involves collaborations with companies like Idemitsu Kosan Co. Ltd. and Abu Dhabi National Oil Co., showcasing a global effort towards clean energy transition.
  • Brookfield Asset Management's investment in Infinium's efuels production highlights the growing market for sustainable aviation fuel and the potential $50 billion SAF market opportunity by 2030.
Mitsubishi Corp. is advancing discussions with Exxon Mobil Corp. regarding acquiring an equity stake in and purchasing ammonia from Exxon's hydrogen facility in Texas. Mitsubishi plans to convert part of its Namikata LPG terminal in Japan into an ammonia terminal to utilize low-carbon ammonia for power generation and industrial activities. The collaboration is part of Japan's decarbonization strategy, with a target for Namikata to handle 1 million tons per year of low-carbon ammonia by 2030. Exxon Mobil's Baytown facility in Texas is set to become the world's largest hydrogen plant, aiming to produce significant amounts of ammonia while capturing a vast majority of associated CO2 emissions. The project involves collaborations with companies like Idemitsu Kosan Co. Ltd. and Abu Dhabi National Oil Co., contributing to a joint effort for clean energy transition. Additionally, Brookfield Asset Management's agreement to invest up to $1.1 billion in efuels producer Infinium showcases the rising importance of sustainable aviation fuel. Infinium's eSAF production, utilizing water, waste CO2, and renewable energy, aligns with the goal of reducing carbon emissions in the aviation industry. Brookfield's investment signals a significant market opportunity in sustainable aviation fuel, estimated to reach $50 billion by 2030. Furthermore, SLB has successfully demonstrated its direct lithium extraction technology in Nevada, recovering 96% lithium from brine. The technology, significantly faster and more efficient than conventional methods, highlights the importance of lithium in the transition to lower-carbon technologies. The development of innovative solutions like DLE technologies is crucial for accelerating the global transition to sustainable energy sources.
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