Japanese shipping giant, Mitsui O.S.K. Lines (MOL) has signed a Memorandum of Understanding (MoU) to build a clean hydrogen and ammonia value chain derived from renewable energy sources in southern Thailand.

The MoU was signed with Mitsubishi Thailand, Chiyoda, and Electricity Generation Authority of Thailand (EGAT), Thailand’s state-owned power generation company.

The signing ceremony was held at the Asia Zero Emissions Community (AZEC) Ministerial Meeting held in Tokyo on 4 March.

The MoU stipulates that MOL, Mitsubishi Thailand, and Chiyoda will cooperate with EGAT in decarbonisation projects to achieve the nation’s decarbonisation targets.

The companies will jointly study ways to establish a series of supply chains for the production, storage, transport, and utilisation of clean hydrogen and ammonia derived from renewable energy sources in southern Thailand, and supplying them to domestic and international markets.

Thailand is positioned as a key country in the Japanese government’s AZEC concept, and the movement toward carbon neutrality is expected to further accelerate in the future.

Through the MoU, MOL and its partners will study safe and efficient methods of transporting hydrogen and ammonia.

MOL will also contribute to the development of the clean energy sector in Thailand and initiatives on carbon neutrality around the world by proceeding with the study in collaboration with EGAT, Mitsubishi Thailand, and Chiyoda.

The MOL Group set forth the “MOL Group Environmental Vision 2.1” to promote the reduction of greenhouse gas (GHG) emissions from the group and from society at large through a concerted group-wide effort and contribute to the establishment of a supply chain for clean energy resources such as ammonia and hydrogen.

In January 2023, MOL’s CEO, Takeshi Hashimoto, announced MOL’s plans to continue its energy transport business from Russia indefinitely, particularly of Liquefied Natural Gas (LNG).