Large-scale LNG project company, Inpex, has announced it has taken a final investment decision on drilling operations and the construction of facilities associated with a demonstration clean hydrogen-ammonia project in Kashiwazaki City, Japan.
This will be implemented at the Inpex-owned Higashi-Kashiwazaki gas field in the Hirai area of Kashiwazaki City. The project is expected to involve the transportation of natural gas produced at the Inpex-operated gas field in Niigata Prefecture to the Hirai area using an existing pipeline.
The new hydrogen facility is set to produce 700 tons (635 tonnes) of blue hydrogen per year. A portion of this will be used to produce blue ammonia and the remaining hydrogen will be utilised for power generation. The CO2 generated during the production of hydrogen and ammonia will be separated, pressurised, and injected in a subsurface gas reservoir as a carbon dioxide capture, utilisation and storage (CCUS) initiative.
Inpex plans to oversee the safety of the CO2 injection procedure as well as monitor its effects. This will be Japan’s first demonstration project integrating blue hydrogen and ammonia production and usage. It is also an important project from the perspective of Japan’s energy security as it will produce clean energy from domestically sourced gas.
The company plans to commercialise three or more projects by around 2030 and aims to produce and supply 100,000 tons (90,000 tonnes) or more of hydrogen/ammonia per year.