Japan-based Sumitomo Corporation, Asahi Kasei Corporation, ENEOS Corporation, JFE Steel Corporation, Mitsubishi Gas Chemical Company and Mitsubishi Chemical Corporation have been selected by the Japan Organization for Metals and Energy Security (JOGMEC) to carry out design work for carbon dioxide separation, capture, liquefaction, temporary storage and shipping facilities for a ship-based advanced carbon capture and storage (CCS) project, according to a statement released by JFE Steel.
The project will focus on the Mizushima industrial area in Kurashiki, Okayama Prefecture, one of Japan's largest industrial complexes and home to major companies operating in the steel, chemical, automotive and energy sectors. Following their selection, the six companies have entered into a service agreement with JOGMEC to implement the project.
JOGMEC initiative targets lower CCS transportation costs
The project forms part of a new initiative launched by JOGMEC in the financial year 2026 aimed at reducing the costs of CCS projects involving maritime transportation. The initiative seeks to establish industrial clusters where carbon dioxide liquefaction, temporary storage and shipping infrastructure can be shared among multiple companies.
According to the companies, the Mizushima industrial complex includes several large-scale carbon dioxide emitters whose emissions are difficult to reduce through electrification or renewable energy alone. As a result, CCS is considered an important option for supporting the green transformation of the industrial complex.
Mizushima Cluster targets 3.43 million mt of annual CO₂ shipments
Taking advantage of the concentration of industrial facilities in Mizushima, the six companies will conduct design and feasibility studies for the establishment of a CCS value chain in which captured carbon dioxide can be processed through shared liquefaction, temporary storage and shipping facilities. They aim to lower costs through shared infrastructure and develop a model for decarbonization across an entire industrial complex rather than on an individual-company basis.
The Mizushima Cluster is expected to ship approximately 3.43 million mt of liquefied carbon dioxide annually, which would make it the largest in terms of shipping volume among the CCS clusters currently under development in Japan. Through the project, the six companies will continue examining the development of a CCS business model based on Mizushima's industrial characteristics, while supporting the green transformation of the industrial complex.