Jera inks ammonia deal with Mitsui for Hekinan power plant

Japan’s LNG buyer and power firm Jera will buy ammonia from compatriot trading house Mitsui & Co to supply it to its coal-fueled Hekinan thermal power station as part of ammonia co-firing trials.

In a statement released last week, Jera did not reveal any additional details regarding the supply deal.

It only said that the supplies will start from fiscal 2023.

Jera and compatriot IHI Corporation started supplying small amounts of ammonia to the Hekinan power plant back in 2021 as part of a demonstration project.

The project previously aimed to achieve an ammonia co-firing rate of 20 percent at the 1 GW Hekinan power station Unit 4 in fiscal 2024.

However, last year the partners decided to move up the start of large-volume ammonia co-firing to fiscal 2023, ending March 2024.

Jera said this project is “significant as it would be the first step toward a rapid and low-cost led decarbonization of thermal power generations.”

The joint venture of Tepco and Chubu Electric added that this ammonia SPA enables the firm to secure a “stable ammonia supply and will contribute to the advancement of the project.”

Mitsui said in a separate statement that it currently supplies about 700,000 tons of ammonia per year, primarily in Asian markets.

The trading house is Japan’s leading importer of ammonia and supplies it mainly to users in the chemicals and fertilizer industry.

Most Popular

Seapeak books $19.3 million charge as it lays off seafarers on steam LNG carriers

Stonepeak’s Seapeak booked $19.3 million of restructuring charges in the second quarter of this year, primarily due to laying off its Spanish seafarers working on steam LNG carriers.

Golar moving forward with new FLNG order

Floating LNG player Golar LNG is moving forward with its plans to order its fourth FLNG conversion. In order to secure "attractive" delivery, Golar plans to enter into slot reservations for long-lead equipment within the third quarter of this year.

Hanwha’s units, Kospo to jointly buy US LNG

South Korea's Hanwha Aerospace and Hanwha Energy, units of Hanwha, are teaming up with compatriot Korea Southern Power (Kospo) to jointly buy US liquefied natural gas (LNG) supplies.

More News Like This

Cheniere, Jera seal long-term LNG SPA

US LNG exporter Cheniere has signed a long-term LNG sale and purchase agreement with Japan's Jera.

Sempra Infrastructure, Jera seal 20-year LNG SPA

US LNG exporter Sempra Infrastructure, a unit of Sempra, has signed a 20-year LNG supply contract with Japan's Jera for volumes from the Port Arthur LNG Phase 2 development project in Texas.

Cameron LNG hits new milestone

Sempra Infrastructure, a unit of Sempra, and its partners have shipped the 1,000th cargo of liquefied natural gas from the Cameron LNG export plant in Louisiana since 2019.

Woodside, Jera ink non-binding winter LNG supply deal

A unit of Australian LNG player Woodside and Japan's Jera have entered into a non-binding heads of agreement for the sale and purchase of LNG cargoes during Japan’s peak winter period.