Japanese refiner Eneos plans to study hydrogen supply chains, utilising its refineries and existing infrastructure, in anticipation of a significant rise in hydrogen demand as Japan moves towards a net zero carbon society and oil products demand falls.
Eneos plans to explore projects at Kawasaki in the Tokyo-bay area and at Mutsu Ogawara in northern Aomori prefecture, using methylcyclohexane (MCH). MCH is easier to store and transport than hydrogen, as it remains in liquid form at room temperature and pressure. The study will be completed at the end of March 2023.
The project in Kawasaki aims to supply CO2-free hydrogen through existing pipelines to major energy consumers, such as power generation plants, steel mills, refineries and petrochemical plants in the area. Blue and green hydrogen, liquefied or transformed to MCH, will be produced in an overseas plant and shipped to the hydrogen terminal and tanks at refineries. Eneos operates the 247,000 b/d Kawasaki refinery in the area.
Another study in Mutsu Ogawara aims to produce CO2-free hydrogen using electricity generated from renewable sources at nearby plants. The hydrogen is expected to be transformed to MCH, and the MCH will then be delivered to refineries and power plants in Tohoku area of northern Japan. Eneos is also mulling storage of MCH in the region's tanks.
The company operates two refineries in Tohoku - the 145,000 b/d Sendai and 203,100 b/d Kashima plants. There is also a national stockpiling base in Mutsu Ogawara with capacity of 35.9mn bl at 51 tanks. Eneos has not disclosed the stockpiling tank location for the MCH so far.
Eneos has set a target to expand its power generation capacity sourcing from renewable energy such as solar and wind power to above 1,000MW, to achieve carbon neutrality by 2040. The company began jointly building a 57MW onshore wind farm in Mutsu Ogawara in March, with commercial operations scheduled after 2024.
