Mitsubishi Corporation (MC) and Shell Canada Products (Shell Canada) have signed a Memorandum of Understanding (MoU) for the production of low-carbon hydrogen through the use of a carbon capture and storage (CCS) system near Edmonton, Canada.
MC will build and start up the low-carbon hydrogen facility near the Shell Energy and Chemicals Park Scotford towards the latter half of this decade. The location was chosen due to the availability of abundant natural gas resources, proven CO2 storage capacity, and shared infrastructure opportunities. Shell will provide CO2 storage via the proposed Polaris CCS project. The low-carbon hydrogen, also known as blue hydrogen, will be produced via a natural gas feedstock and exported mainly to the Japanese market to produce clean energy.
The first phase of the project aims to produce approximately 165,000 tons per annum of hydrogen with the upside to increase production depending on considerations over future phases. The hydrogen would be converted to low-carbon ammonia for export to the Asian market(s).
