Japan, UAE strike first fuel ammonia cooperation deal

A general view taken on May 29, 2019 shows the sea front promenade in the Emirati capital Abu Dhabi with the ADNOC headquarters (Abu Dhabi National Oil Company) office complex (C) in the foreground. (AFP/File Photo)
A general view taken on May 29, 2019 shows the sea front promenade in the Emirati capital Abu Dhabi with the ADNOC headquarters (Abu Dhabi National Oil Company) office complex (C) in the foreground. (AFP/File Photo)
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Updated 14 January 2021

Japan, UAE strike first fuel ammonia cooperation deal

A general view taken on May 29, 2019 shows the sea front promenade in the Emirati capital Abu Dhabi with the ADNOC headquarters (Abu Dhabi National Oil Company) office complex (C) in the foreground. (AFP/File Photo)
  • Japan plans to develop its supply chain of blue ammonia in the Middle East by the end of the decade, according to S&P Global Platts

DUBAI: Japan’s Ministry of Economy, Trade and Industry (METI) struck its first fuel ammonia cooperation deal with the UAE’s Abu Dhabi National Oil Company (ADNOC).

On Jan. 14, the signing of the memorandum of cooperation took place during a virtual meeting between METI Minister Hiroshi Kajiyama and ADNOC CEO and the UAE’s Minister of Industry and Advanced Technology Sultan Al-Jaber, METI said in a statement.

The two countries also agreed to further advance bilateral cooperation in areas including hydrogen and fuel ammonia. Japan plans to develop its supply chain of blue ammonia in the Middle East by the end of the decade, according to S&P Global Platts.

The UAE is Japan’s second-largest crude oil supplier, accounting for over 30 percent of oil imports right after Saudi Arabia.

READ MORE: Japan receives first shipment of blue ammonia from Saudi Aramco, SABIC

Abu Dhabi is pushing toward a clean energy initiative through ADNOC, which has a new unit that will focus on hydrogen.

“The directorate will also lead ADNOC activities to capitalize on the emerging global market for hydrogen, building on the company’s existing position as a major producer with existing infrastructure, partnerships and customer relationships,” ADNOC said in a statement on Jan. 13.

In September of last year, Japan received its first shipment of blue ammonia from Saudi Aramco, in partnership with Saudi Basic Industries Corporation. The shipment contained 40 tons of high-grade blue ammonia and is meant for use in zero-carbon power generation.