Baku, Azerbaijan, May 8. Marubeni Corporation
has signed a long-term agreement with ExxonMobil for the annual
offtake of around 250,000 tons of low-carbon ammonia from
ExxonMobil’s planned facility in Baytown, Texas, Trend reports.
The ammonia will be primarily supplied to the Kobe Power Plant,
operated by Kobe Steel, and will support Japan’s efforts to reduce
carbon emissions.
ExxonMobil’s facility is expected to begin operations following
a final investment decision in 2025, pending regulatory approvals
and supportive policies. It is designed to produce up to 1 billion
cubic feet per day of low-carbon hydrogen and over 1 million tons
of low-carbon ammonia annually, with approximately 98% of CO₂
emissions captured.
Marubeni has also agreed to acquire a stake in the project and
aims to use this supply chain to decarbonize power generation and
other industrial sectors in Japan and Southeast Asia. The Kobe
Power Plant plans to begin co-firing ammonia by fiscal year
2030.