MOL invests in clean hydrogen-ammonia production project in Louisiana
MOL Clean Energy (MCE), a subsidiary of Japanese shipping company Mitsui O.S.K. Lines, Ltd. (MOL), has made a strategic investment in Ascension Clean Energy (ACE), a proposed global-scale clean hydrogen-ammonia production and export facility in Ascension Parish, Louisiana.
The strategic investment by MCE was announced on 15 June, through which the company became a joint venture shareholder in the project. Other shareholders in this project are Clean Hydrogen Works, Hafnia and Denbury Carbon Solutions.
By joining the ACE project, MOL will help develop safe, sustainable, and efficient solutions to ship clean hydrogen-ammonia to emerging clean energy markets across the globe.
“Clean hydrogen-ammonia is critical to decarbonizing the global energy market,” said Tomoaki Ichida, CEO of MCE. “With this innovative project, MOL is investing not only for our future growth but also helping promote the development and adoption of clean hydrogen-ammonia within our fleet and customer base.”
ACE is expected to produce 7.2 million metric tons of clean hydrogen-ammonia annually and help decarbonize hard-to-abate sectors including power generation, bunker fuel, heavy transportation, steel processing and industrial applications.
Anticipated production is currently targeted by late 2027 with the shipment of the clean energy commencing in 2028.
Furthermore, the aim of the project is to capture up to 98% of CO2 emissions from its processes and provide a cost-effective, scalable pathway to supply carbon-free energy.
With a projected investment of $7.5 billion, ACE is expected to generate approximately 1,500 construction jobs over five years and 350 permanent, full-time jobs.