Tue Sep 17 05:50:53 UTC 2024: ## ExxonMobil’s Texas Hydrogen Project Gains Momentum with Japanese Investment
**Houston, TX -** ExxonMobil Corp. is moving closer to its goal of building the world’s largest low-carbon hydrogen production plant in Texas, securing potential investments from Japanese companies Mitsubishi Corp. and Idemitsu Kosan Co. Ltd.
Mitsubishi and ExxonMobil have signed a Project Framework Agreement, outlining potential equity participation by the Japanese company in the project, along with an offtake agreement. Mitsubishi also intends to involve Idemitsu Kosan as an equity and offtake partner.
This announcement follows a similar agreement with the Emirati state-owned company, ADNOC, who has committed to a 35% equity stake in the project.
The project, located at ExxonMobil’s Baytown complex, aims to produce up to one billion cubic feet of hydrogen per day, with over 98% of carbon dioxide emissions captured for permanent sequestration.
Mitsubishi plans to utilize the hydrogen supply for industrial applications in Japan, aiming to handle one million tons per year of low-carbon ammonia by 2030.
The agreement between ExxonMobil and Mitsubishi marks the second such partnership with Japanese companies. JERA Co. Inc. also entered into a Project Framework Agreement last month, expressing interest in a potential equity stake and commitment to purchase 500,000 tons of hydrogen per year.
ExxonMobil aims to finalize the project’s investment decision in 2025, with plans to begin production in 2029.
This partnership demonstrates a growing trend of international collaboration in developing low-carbon energy solutions. ExxonMobil’s project, if successful, would be a significant step towards achieving the ambitious goal of decarbonizing the energy sector.
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