Japan’s ENEOS Corporation has signed a Memorandum of Understanding (MoU) with the Saudi Arabian Oil Company (Saudi Aramco) to investigate potential opportunities for establishing a blue hydrogen and blue ammonia supply chains.

ENEOS and Aramco intend to engage in collaborative feasibility studies to evaluate the production of blue hydrogen and blue ammonia in Saudi Arabia from hydrocarbons, such as natural gas (NG) and liquefied petroleum gas (LPG) as well as the capture of associated carbon dioxide emissions. Additionally, ENEOS and Aramco intend to assess various hydrogen chemical carriers for the purpose of transporting hydrogen from Saudi Arabia to Japan and other markets. 

Carriers are a unique way to deliver hydrogen by hydriding a chemical compound at the site of production and then dehydriding it either at the point of delivery or once it is onboard the fuel cell vehicle. This method of hydrogen delivery is still in the early stages of research and development, and as of yet it has not been shown to be energy or cost efficient, according to the U.S. Department of Energy. Using such novel carriers would constitute a significant departure from the way transportation fuels are delivered today.

Japan imports more than a third of its crude oil from Saudi Arabia and the MoU is based on Aramco’s potential as a stable, long-term supplier of blue hydrogen and blue ammonia. Upon completion of the feasibility studies, ENEOS will review the possibility of establishing hydrogen networks, which includes importing the product to Japan and supplying it to power stations and other industries from refineries.

The MoU aims to support the establishment of a low-carbon society through promoting widespread blue hydrogen and blue ammonia supply chains.