Yara International, Jera and Idemitsu Kosan have signed an MoU for developing a domestic clean ammonia distribution network and bunkering business to expedite Japan’s green energy transition.
Yara International Asa is a leading ammonia player; Jera Co., Inc, is Japan’s largest power generation company; Idemitsu Kosan is a Japanese petroleum products supplier. Through its focus on clean ammonia production, Yara would be enabling the hydrogen economy to support the green energy transition.
Under the framework, Jera and Yara have further strengthened their efforts to study the potential of ammonia bunkering business and distribution to the industrial sector in Japan. Idemitsu Kosan will offer its extensive distribution network for petroleum products, bunkering capabilities and import terminals. The partnership will enable the development of an end-to-end clean ammonia supply chain, which is critical for decarbonisation.
Under the agreement, a domestic ammonia distribution network will be established based at Idemitsu Kosan’s Tokuyama Complex (Shunan City, Yamaguchi Prefecture). The partnership will also develop an ammonia bunkering business using Tokuyama Complex as well as optimise the fuel ammonia shipping supply chain for domestic use. The collaboration will contribute to improving ammonia supply reliability in Japan and ensuring its economic efficiency.
Since 2021, Jera and Yara have collaborated to decarbonise power production in Japan by exploring potential cooperation across the clean ammonia value chain to cultivate demand for clean ammonia in Japan.
To achieve carbon neutrality, Japan targets 3 million tonnes of ammonia import for fuel by 2030 and 30 million tonnes by 2050.