Out-Law News 1 min. read
14 Aug 2023, 8:06 am
Japan and the Middle East have signed several agreements to cooperate on hydrogen and other energy transition technologies.
The agreements were made during the visit of Japanese prime minister Fumio Kishida to Middle East countries Saudi Arabia, United Arab Emirates (UAE) and Qatar in July.
Japan and Saudi Arabia have signed a clean energy cooperation agreement known as the Lighthouse Initiative (2-page / 78KB PDF). The initiative aims to develop clean energy projects in areas such as hydrogen and ammonia, e-fuels, carbon recycling, direct air capture, critical minerals required for the energy sector and supply chain resilience, sustainable advanced materials, and research and knowledge exchange. The two countries intend to work together on mineral resources supply chains and attracting more participants on the plan.
Renewables expert Karah Howard at Pinsent Masons said: “Japan is a forerunner in the development of hydrogen and ammonia production and aims to leverage this expertise to secure supply to meet its projected demand for green energy and net zero commitments.”
“With feasibility studies for production and supply of hydrogen and ammonia already underway in the Gladstone Region in Queensland and other areas in Australia, Japan’s interest in the Saudia Arabia, UAE and Qatar to extend the available supply is a key strategic move to achieve such energy security,” she said.
An economic delegation including around 30 Japanese company executives joined Kishida’s visit. Some Japanese companies represented in the delegation also signed agreements which focus on hydrogen cooperation with Middle Eastern companies.
Sumitomo Corporation and Sharjah National Oil Corporation (SNOC) of the UAE signed an initial agreement on a UAE carbon capture project. The companies will conduct a joint feasibility study for the carbon capture and storage (CCS) project including a techno-economic analysis into adaptability of Japanese technologies relevant to carbon capture, transport and storage, identification of business models, and assessment of regulatory frameworks.
Separately, Japan’s JERA and ADNOC of Abu Dhabi signed a strategic collaboration agreement to work together in clean hydrogen and ammonia.
Altogether, Japanese and Middle Eastern companies signed at least seven agreements during the trip, according to local news reports.