Joint Feasibility Study for Creation of a Supply Chain of Low Carbon Ammonia in Western Australia

April 26th, 2022

Joint Feasibility Study for Creation of a Supply Chain of Low Carbon Ammonia in Western Australia

The proponent is undertaking a feasibility study on carbon capture and storage possibilities in Western Australia in support of a low-carbon, ammonia production plant using hydrogen generated from natural gas.

Main proponents:

Mitsui E&P Australia Pty Ltd

 

Main end-use classification:

Ammonia production, export potential

Status:

Under development – feasibility study

Estimated cost:

 

Other involvement:

 

Production details:

 

Location:

Western Australia, Australia

Announced funding:

 

Project description

The proponent is undertaking a feasibility study on carbon capture and storage (CCS) possibilities in Western Australia in support of a low-carbon, ammonia production plant using hydrogen generated from natural gas.

This proposed project has two interlinked components:

  • Mitsui and the Japan Oil, Gas and Metals Corporation (‘JOGMEC”) will conduct a joint feasibility study on CCS options in Western Australia associated with Mitsui’s Perth Basin hydrocarbon investments.
  • Mitsui has agreed with Wesfarmers to jointly study the commercial and technical viability of building a low carbon ammonia production plant (to include CCS technologies).

Mitsui is currently developing the Waitsia gas field in the mid-west region of Western Australia (50% interest) and it also holds a 100% interest in nearby depleted gas fields in the Perth Basin.

Mitsui will investigate the potential for production of low-carbon ammonia made from hydrogen derived from its mid-west natural gas assets, with potential for the associated CO2 to be stored in nearby depleted gas fields. Markets in both Australia and Asia, including Japan, are targeted.

The Mitsui joint study with JOGMEC will investigate the potential for CO2 storage in depleted gas fields (storage sites outside the Mitsui assets would also be considered).

In April 2022, it was announced, under the 2022 federal election caretaker arrangements, that Mitsui E&P Australia would receive AUD$20 million to support establishment of a Mid-west Modern Energy Hub.

 

Updated: April 2022