ExxonMobil to supply low-carbon ammonia to Marubeni
Photo courtesy of ExxonMobil

ExxonMobil to supply low-carbon ammonia to Marubeni

ExxonMobil has agreed to supply Japanese trading giant Marubeni Corporation with approximately 250,000 tonnes of low-carbon ammonia annually under a long-term contract. The deal represents a significant milestone in the development of clean energy value chains across Asia and supports Japan’s decarbonisation objectives.

The ammonia will be produced at ExxonMobil’s planned facility in Baytown, Texas, U.S.A., which is expected to begin operations in 2028. The plant is designed to produce around one million tonnes of low-carbon ammonia per year, using carbon capture and storage (CCS) technology to reduce emissions by more than 70% compared to conventional methods.

Under the agreement, Marubeni will receive the ammonia at the Port of Houston and arrange transport to key industrial hubs in Japan and Southeast Asia. The product will be used for power generation, chemical production, and as a hydrogen carrier.

ExxonMobil’s Senior Vice President Dan Ammann described the initiative as a landmark project that leverages the company’s CCS expertise and low-emissions technologies. He emphasised that such innovations will play a central role in helping heavy-emitting sectors decarbonise.

Masayuki Omoto, president and chief executive of Marubeni, said the agreement marked a pivotal step in building a global supply chain for low-carbon ammonia and reinforced Marubeni’s long-term vision for clean hydrogen and ammonia solutions in Asia.

Japan has positioned ammonia as a key enabler in its transition to a carbon-neutral economy, targeting the use of ammonia co-firing in power plants and its integration into industrial fuel systems. The agreement also aligns with Japan’s ambition to commercialise clean hydrogen derivatives and secure long-term supplies.