Japanese trading house Itochu, Petronas Energy Canada, and an unspecified Canadian infrastructure company will work together on an ammonia project in Canada’s Alberta province. Itochu will be responsible for sales and logistics of the produced ammonia, eyeing markets in the Japanese power, petrochemical, and steel industries.
The partnership plans to use natural gas produced in Petronas’ oil fields in Alberta as the ammonia feedstock. CO2 emitted during the production process will also be captured to produce blue ammonia. The companies will also send CO2 to existing carbon capture and storage (CCS) facilities managed by Shell or other companies.
Itochu is investing in ammonia as a future clean energy source. The trading house has agreed with Russia’s Irkutsk Oil to study the feasibility of a blue ammonia value chain in Siberia. The company also leads an international group of 23 firms to research the use of green ammonia as a ship fuel.
