Mitsubishi and Shell Canada sign a new clean energy agreement

Japan’s Mitsubishi and Shell Canada have signed an agreement to produce low-carbon hydrogen through the use of carbon capture and storage (CCS) near the Shell Energy and Chemicals Park Scotford, in Edmonton, Canada. 

Shell would provide CO2 storage via the proposed Polaris CCS project, the companies said.

The low-carbon hydrogen will be produced through a natural gas feedstock and exported mainly to the Japanese market to produce clean energy. The facility will begin to be built  towards the latter half of this decade, the companies said in a statement.

“MC is looking into such clean energy opportunities globally”, said Hiroki Haba, Senior Vice President, Division COO, Next-Generation Fuels & Petroleum Business Div., MC. “This opportunity in Canada would support Japan’s requirements for clean energy.”

The first phase of the project aims to produce approximately 165,000 tons per annum of hydrogen with upside to increase production depending on considerations over future phases. 

The hydrogen would be converted to low-carbon ammonia for export to Asian market.