Mitsui to work on ammonia plant, CCS project in Western Australia

Japanese trading house Mitsui & Co said it has signed a deal to look into building an ammonia production plant, which will include carbon capture and storage (CCS) solutions in Western Australia.

The firm said in a statement on Monday it has agreed with compatriot Jogmec to conduct a joint feasibility study on CCS in Western Australia associated with Mitsui’s Perth Basin investments.

In addition, Mitsui has also agreed with Wesfarmers Chemicals, Energy & Fertilisers (WesCEF) to jointly study the commercial and technical viability of building a low carbon ammonia production plant.

The plant would include CCS solutions to be provided by Mitsui.

WesCEF is a division of Wesfarmers, one of Australia’s largest publicly-listed companies, and operates chemicals, energy and fertilizer businesses that service a range of sectors in both domestic and international markets.

On the other side, Mitsui is developing the Waitsia gas field in Western Australia as the operator with a 50 percent working interest through its unit Mitsui E&P Australia (Mepau).

Mitsui’s partner Beach has recently signed an LNG supply deal with BP regarding the Waitsia project.

As previously reported, Mitsui and Beach have in December taken a final investment decision on the Waitsia expansion project. Prior to that, the partners signed third-party tolling deals with Australia’s Woodside and its North West Shelf LNG venture participants.

Mitsui to work on ammonia plant, CCS project in Western Australia
Image: Mitsui

Ammonia export to Asia

Besides the Waitsia project, Mitsui’s unit Mepau also holds a 100 percent working interest in nearby depleted gas fields in Perth Basin.

Mepau has the “credibility, capabilities and global network to develop natural gas assets and produce low carbon ammonia for the benefit of markets in both Australia and Asia, including Japan,” Mitsui said in the statement.

Specifically, Mepau would investigate the production and export of low carbon ammonia made from hydrogen generated from Mid West natural gas, with potential for the associated CO2 to be stored in depleted gas fields in Perth Basin.

The joint study with Jogmec and WesCEF would research the potential for carbon storage in depleted gas fields, and also consider alternate sites in Western Australia, Mitsui said.

- Advertisements -

Most Popular

Adnoc awards Ruwais LNG gig to Baker Hughes

A unit of UAE’s energy giant Adnoc has awarded US energy services firm Baker Hughes a contract for the...

Trafigura enters $400 million loan to buy US LNG cargoes for Europe

Energy trader Trafigura has entered into two revolving credit facilities worth $400 million and will use the funds to...

DNV: eight LNG-powered vessels ordered in September

Classification society DNV has added eight LNG-powered ships to its Alternative Fuels Insight platform in September, 13 ships less...

More News Like This

Japan’s monthly LNG imports continue to drop

Japan’s monthly liquefied natural gas (LNG) imports continued to decline in August, according to the provisional data released by...

Japan’s JOGMEC publishes spot LNG price for first time this year

State-run Japan Organization for Metals and Energy Security (JOGMEC) has published the first contract-based monthly spot LNG price since...

Japan’s LNG imports continue to decline

Japan's monthly liquefied natural gas (LNG) imports continued to decline in July, according to the provisional data released by...

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...