Interest in an Australian ammonia fuel supply chain is intensifying.
Tokyo, Japan, headquartered Mitsui OSK Lines has announced it has signed a Memorandum of Understanding for a joint study to build a supply chain of renewable energy-derived ammonia (green ammonia), with a major Australian energy company Origin Energy.
Origin is pursuing a number of green ammonia and hydrogen projects, including a green ammonia export project in Bell Bay, Tasmania, with first cargo targeted for 2026. MOL and Origin will complete a feasibility study on marine transportation of ammonia, demand in Japan and Asia and developing a supply chain by December of this year.
As a next-generation clean energy source that produces no carbon dioxide (CO2) during combustion, and as a carrier for transporting hydrogen, ammonia is in the spotlight as a promising energy resource that can help meet the 2050 target set by the Japanese government for achieving a carbon-neutral society. In addition, green ammonia-produced using a renewable energy source that emits no CO2-can make a major contribution to reducing CO2 in the supply chain.
Originโs general manager of future fuels, Tracey Boyes said, โTransport is one of the biggest opportunities globally to achieve emissions abatement through the use of green and renewable fuels such as hydrogen and ammonia.
โWith our abundance of renewable resources and proximity to Asian markets, Australia is in the box seat to develop a world-leading hydrogen sector, exporting low emissions energy all over the world to meet demand for clean energy from our major trading partners. Many nations have committed to ambitious carbon targets, and partners such as Mitsui O.S.K Lines will be crucial to underpinning the development of a strong hydrogen sector here in Australia.
โOrigin is in a strong position to leverage our expertise in LNG export and delivering complex major projects.
โWe are delighted to start building a strong working relationship with Mitsui O.S.K. Lines to establish what opportunities there may be, both for future projects, or for projects that we are already investigating,โ Ms Boyes said.
The MOL Group aims at net zero greenhouse gas (GHG) emissions by 2050.
This is the second such study to get the green light in recent weeks. Earlier this month, a large international consortium including the Australian group, Woodside Energy, announced that it would carry out a supply chain study into ammonia as a fuel.
