IHI Corp., Tokyo, on Dec. 15 announced that it has concluded a Memorandum of Understanding with Gentari Hydrogen Sdn Bhd, a subsidiary of PETRONAS’ clean energy entity, to evaluate the feasibility of leveraging the abundant solar resources of Malaysia to produce and sell green ammonia derived from renewables.
Under the MOU, IHI and Gentari will consider a business model for ammonia production in Johor, Malaysia, a suitable site for solar power generation, where green ammonia will be produced, used locally for power generation and marine fuel supply, and exported to the Japanese and Asian markets.
In this study, IHI will conduct technical studies and ammonia demand surveys for Japan, while Gentari handles the assessment of renewable energy supply and various facilities in Malaysia, as well as various market demand surveys.
After conducting a feasibility study that runs until the beginning of 2023, the project aims to develop a commercial ammonia production plant to commence operations in 2026. IHI and Gentari aim to demonstrate several ammonia application models in Malaysia and build a fuel ammonia supply chain to address the future increase of clean fuel demand.