Japanese shipping giant Mitsui O.S.K. Lines (MOL) has entered into a Memorandum of Understanding (MoU) with energy leaders Idemitsu Kosan, HIF USA, and HIF Asia Pacific to collaboratively spearhead the development of a synthetic fuel (eFuel) and synthetic methanol (e-methanol) supply chain. This groundbreaking initiative includes the transportation of CO2 by sea, marking a significant step towards sustainable energy solutions.
Synthetic fuels and methanol, crafted by combining green hydrogen from renewable energy sources with CO2, promise a significant reduction in carbon emissions across their entire lifecycle—from production to end use. This positions them as rapidly deployable, eco-friendly alternatives.
The collaboration focuses on establishing a comprehensive supply chain for synthetic fuel and methanol. Key objectives include conducting feasibility studies on CO2 marine transport from Japan to HIF’s international production facilities, creating a supply network for transporting these synthetics back to Japan, and ensuring efficient, cost-effective maritime logistics for both CO2 and synthetic methanol.
MOL, alongside Idemitsu and HIF, is committed to the decarbonization of the energy and transportation sectors, exploring new business avenues through this partnership.
Specific roles include HIF Global’s evaluation of global CO2 demand for its eFuels production, Idemitsu’s exploration of CO2 capture within Japan, and MOL’s focus on the maritime logistics of transporting CO2 and eFuels to and from Japan.
Cesar Norton, President & CEO of HIF Global, emphasized the potential of recycling 25 million tonnes of CO2 annually through their eFuels facilities, highlighting the role of carbon-neutral eFuels in replacing fossil fuels across global transportation, aiming for net-zero emissions.
Hiroshi Tanaka of Idemitsu Kosan expressed the company’s commitment to building a solid supply chain for eMethanol and eFuels, underlining their critical role in achieving low environmental impact and business versatility.
Hirofumi Kuwata of MOL highlighted the collaboration’s aim to develop a value chain for CO2, synthetic fuel, and methanol, contributing significantly to decarbonization efforts through efficient maritime transport within the supply chain that links Japanese and international projects.
The partnership will also delve into the commercial aspects of eFuels and assess the impact on reducing greenhouse gas emissions.
In a related development, HIF Global and Japanese firms ITOCHU, JFE Steel, and MOL announced an agreement in January to explore potential sites for carbon-neutral eFuels facilities in Australia, including establishing a CO2 supply chain between Australia and Japan, further underscoring the collaborative effort towards a sustainable future.
