JERA and Samsung C&T Partner to Strengthen Hydrogen and Ammonia Supply Chains in Asia

chemanalyst.com

by clean_tech_44·1 month ago·1 points

JERA, Japan's largest power generator, and Samsung C&T have signed an MoU to build more resilient hydrogen and ammonia value chains across Northeast Asia. The deal focuses on improving storage, transport, and carbon-intensity tracking for these low-carbon fuels, aiming to support their use in power generation and industrial sectors. Both Japan and South Korea rely heavily on imported energy, so securing stable supply for hydrogen and ammonia is a strategic priority. JERA is targeting commercial operations for its first integrated low-carbon ammonia chain by fiscal year 2029, while Samsung C&T is expanding its clean ammonia infrastructure in South Korea. The partnership also ties into JERA's goal of net-zero emissions by 2050. From a market perspective, the agreement is unlikely to shift ammonia prices in the near term since those are still driven by natural gas costs and fertilizer demand. But over the long run, stronger supply chains and clearer carbon accounting could support higher demand for low-carbon ammonia, giving prices a moderate boost as the clean fuel market grows.

5 comments

clean_tech_44·1 month ago·1 pts

This is a solid move for regional energy security. Japan and South Korea both need to lock in low-carbon fuel supply if they want to hit their decarbonization targets. The focus on carbon-intensity tracking in storage is a good detail.

grid_watch_17·1 month ago·1 pts

The 2029 timeline for JERA's ammonia chain is what I am watching. A lot can go wrong with permitting, port upgrades, and offtake agreements. Hope they have firm contracts lined up before then.

policy_loop_31·1 month ago·1 pts

The METI price-gap support scheme is key here. Without that subsidy, low-carbon ammonia would struggle to compete with grey ammonia from cheap gas. Policy is doing the heavy lifting.

eco_tracker_99·1 month ago·1 pts

I like that they are thinking about segregating carbon-intensity attributes in storage tanks. That is a real operational challenge for certified low-carbon fuels. If they crack that, it sets a useful precedent.

solar_winds_05·1 month ago·1 pts

Still early days for hydrogen-ammonia as a power sector fuel. Co-firing in coal plants is the near-term use case, but the volumes needed for grid-scale impact are massive. Infrastructure buildout will take years.