Japanese firms ink FEED deal for liquefied hydrogen supply chain

Japanese firms Kawasaki Heavy Industries, Toyo Engineering Corporation, JGC Corporation and Chiyoda Corporation have signed a joint venture agreement to enhance the front-end engineering design (FEED) execution for a liquefied hydrogen supply chain in development by Japan Suiso Energy (JSE).

According to Kawasaki, the four parties will conduct the required FEED aimed at realizing a demonstration of commercial operations for hydrogen liquefaction facilities (two plants capable of processing 60 tons per day), onshore liquefied hydrogen storage tanks (five tanks with a capacity of 10,000 m3 each), export terminal facilities for large liquefied hydrogen carriers and related facilities at the liquefaction and export terminal in Hastings, Victoria, Australia.

Furthermore, Kawasaki revealed the companies will determine the optimal equipment requirements, specifications and costs, among others, for demonstration tests for the commercialization of JSE’s liquefied hydrogen supply chain.

Moving forward, Kawasaki noted the company will combine its technologies and skills in the areas of liquefied hydrogen storage, handling and transport, drawing on the extensive accumulated experience and technical knowledge that TOYO, JGC and Chiyoda possess in the area of overseas plant design and construction.

The goal is to accelerate FEED aimed at the creation of liquefied hydrogen supply chains, and in doing so, contribute toward the realization of Japan’s goal of carbon neutrality by 2050, Kawasaki said.

To note, JSE is currently pursuing a NEDO Green Innovation Fund project calling for the demonstration of commercial operations of a liquefied hydrogen supply chain, with the aim of full-scale commercialization of a clean hydrogen supply chain. This is based on the ‘Green Growth Strategy Through Achieving Carbon Neutrality in 2050,’ established on December 25, 2020 and issued by the Japanese Ministry of Economy, Trade and Industry (METI).

The project aims to support the development of hydrogen liquefaction and transportation technology on a scale of tens of thousands of tons per year for commercialization in the 2030s and the establishment of an integrated international liquefied hydrogen supply chain from Australia to Japan.

In October 2023, Japan’s INPEX Corporation concluded an agreement to acquire shares in JSE and take part in developing the supply chain. Kawasaki Heavy Industries and Iwatani Corporation are the creators of the JSE venture.