Sembcorp announces strategic partnerships with Japan and other companies to advance hydrogen. In addition, the company saysthe hydrogen supply chain will be the focus of all partnerships.
A partnership focused on hydrogen
Sembcorp announces strategic partnerships with the Japanese government and several companies. This partnership, focused on hydrogen, includes a protocol with the Japan Bank for International Cooperation (JBIC). Finally, this cooperation extends to Sojitz Corporation and IHI Corporation.
These MOUs are in addition to those signed in 2021 with Mitsubishi Corporation and Chiyoda Corporation. As such, JBIC provides support to projects developed by Sembcorp and its partners. Sembcorp and JBIC will work together to identify potential projects in which Sembcorp could collaborate with Japanese companies.
Sembcorp and Sojitz partner on new renewable energy projects, including renewable hydrogen production. This partnership includes battery energy storage system projects and net-zero industrial parks in Asia-Pacific. Sembcorp partners with IHI to collaborate on an integrated green ammonia supply chain, both upstream and downstream.
This partnership is also a key step under the MOU with Mitsubishi and Chiyoda. Indeed, it allows the development of hydrogen imports via methylcyclohexane to progress. This is a type of liquid organic hydrogen transporter, with the start of Pre-FEED studies.
The ambition of decarbonization
The agreement came on the sidelines of theopening day of Singapore International Energy Week. Wong Kim Yin, group president and CEO, Sembcorp Industries, said:
“The partnerships forged today align with Sembcorp’s green transformation and will enable us to play a central role in decarbonizing various industries, including energy. We are pleased to be the first Singaporean company to partner with JBIC to explore hydrogen and its derivatives as the most promising substitute for natural gas.”
Future energy collaborations with Japanese companies will benefit from Sembcorp in renewable energy.
The ambition of the Singaporean company is to form low-carbon hydrogen supply chains. Sembcorp is committed to enabling the transition to net zero emissions. As such, the collaborations will allow Sembcorp to access Japan’s technology for hydrogen development and deployment.
Singapore’s power sector currently accounts for 40% of the country’s total carbon emissions. Hydrogen is the most promising alternative fuel to natural gas. Today, it covers 95% of the country’s energy needs.
These collaborations support the ambitions of the Singapore government. Low-carbon hydrogen could potentially cover up to 50% of its electricity needs by 2050. Sembcorp also wishes to benefit from JBIC’s financial expertise to develop financing structures.
