Dubai’s ENOC Group, the leading integrated international oil and gas player, and Japanese heavy-industry manufacturer IHI Corporation, have signed a Memorandum of Understanding (MoU) to explore establishing a low-carbon hydrogen and low-carbon ammonia supply chain in the UAE.
The move is aligned with the UAE’s overall efforts to diversify its energy sources to transition into a clean energy model for the world to emulate. The produced fuel will be exported to Japan and supplied within the UAE and across the region for bunkering and other purposes.
Under the agreement, both parties will execute corresponding studies in consecutive phases for green ammonia production in the UAE, including pre-feasibility and feasibility studies for the first-of-its-kind full-scale production plant, pre-Front End Engineering Design (FEED) and FEED studies for the demonstration plant, and pre-FEED and FEED for the full-scale production plant.
The agreement was signed by His Excellency Saif Humaid Al Falasi, Group CEO, ENOC, and Mr. Jun Kobayashi, Executive Officer, General Manager of Solution & Business Development Headquarters of IHI Corporation.
“At ENOC, we continue to explore partnerships that safeguard the future for generations to come. Our collaboration with IHI Corporation demonstrates our commitment to supporting the UAE’s energy transition efforts whilst advancing Dubai’s Clean Energy Strategy 2050. We are excited to work with IHI Corporation to explore the potential of green ammonia production in the UAE.”
This partnership aligns with Dubai’s Clean Energy Strategy 2050 and the UAE Energy Strategy 2050 to meet the country’s economic requirements and environmental goals. Further, it supports the UAE Net Zero by 2050 Strategic Initiative, a national drive to achieve net-zero emissions by 2050.
Mr. Kobayashi said that “IHI is delighted to announce our collaboration with ENOC on establishing the green ammonia value chain in the UAE. IHI believes green ammonia is one of the most practical, economical carbon-free fuel solutions with high volumetric hydrogen density and easy handling. The UAE is well positioned to produce and export green ammonia with its abundant renewable energy and robust maritime trade infrastructure, which cements its place as a critical hub for global shipping. This collaboration will help materialize Japan’s and UAE’s carbon reduction goals.