UAE - Mubasher: The Abu Dhabi National Oil Company (ADNOC) has inked a joint study agreement (JSA) with two Japanese companies and a government agency to explore the commercial potential of blue ammonia production in the UAE.

The Abu Dhabi-based company entered into the agreement with INPEX Corporation (INPEX) and JERA Co. and a government agency, the Japan Oil, Gas, and Metals National Corporation (JOGMEC), according to a press release on Thursday.

The agreement was signed following a virtual meeting between the UAE Minister of Industry and Advanced Technology and Managing Director and Group CEO of ADNOC, Sultan Ahmed Al Jaber, and the Japanese Minister of Economy, Trade, and Industry (METI), Kajiyama Hiroshi.

Under the joint study agreement, ADNOC and its partners will be provided with a platform to explore supplying Japanese utility companies with blue ammonia, produced in Abu Dhabi from nitrogen and blue hydrogen.

In addition, ADNOC is launching a blue ammonia production facility at the TA’ZIZ Industrial Chemicals Zone in Ruwais, which will have a capacity of 1,000 kilotons per year.

Japan is ADNOC’s largest international importer of oil and gas products with approximately 25% of its crude oil imported from the UAE.

Al Jaber said: "As we increase our focus on the potential of new lower-carbon fuels and navigate the energy transition, the UAE and ADNOC are keen to build and strengthen our existing partnerships and seize growth opportunities with Japan that can help produce more energy with fewer emissions."

Meanwhile, Kajiyama added: "In January, METI and ADNOC signed a Memorandum of Cooperation (MOC) on Fuel Ammonia and Carbon Recycling. Since then, further progress has been made among relevant entities."