JERA Signed an Ammonia Sales and Purchase Agreement with Mitsui

JERA Co., Inc. (“JERA”) has signed an Ammonia Sales and Purchase Agreement (“Ammonia SPA”) with Mitsui & Co.,Ltd. (“Mitsui”) for its use in the demonstration project which will take place at the Hekinan Thermal Power Station in Hekinan, Aichi prefecture, Japan.

JERA and IHI Corporation have been conducting a demonstration project to establish technology for the large-volume co-firing of fuel ammonia (20% of heating value) at the Hekinan Thermal Power Station (the “Project”) under the New Energy and Industrial Technology Development Organization (“NEDO”) grant program since FY 2021. The Project is significant as it would be the first step toward a rapid and low-cost led decarbonization of thermal power generations.

The ammonia purchased from Mitsui pursuant to the Ammonia SPA will be utilized in the Project starting from FY 2023. This Ammonia SPA enables JERA to secure a stable ammonia supply and will contribute to the advancement of the Project. JERA will continue to place the highest priority on safety while moving steadily forward through the steps of the Project with the goal of establishing CO2 reduction technology for thermal power station.

Under its “JERA Zero CO2 Emissions 2050” objective, JERA has been working to reduce CO2 emissions from its domestic and overseas business to zero by 2050, promoting the adoption of greener fuels, and pursuing thermal power that does not emit CO2 during power generation. JERA will continue to contribute to energy industry decarbonization through its own proactive efforts to develop decarbonization technologies while enduring rationality.