Agreement signed between Saudi Arabia and Japan on Circular Carbon Economy Clean Hydrogen Fuel Ammonia

 In December 2022, a memorandum was signed between Saudi Arabia and Japan at the first ministerial meeting of the Saudi Japanese Ministerial Dialogue for Energy. . The memorandum was about cooperation in the energy sector, including carbon recycling technology and the use of hydrogen and ammonia as a clean fuel source, to achieve a carbon neutral society.

 According to the two memoranda of cooperation, the two nations will advance the use of hydrogen in transportation and encourage the study and advancement of fuel ammonia and hydrogen technologies as well as their application at the local, bilateral, regional, and global levels. The two nations will also look into the possibility of conducting a joint study or pilot project that quickens the adoption of low-carbon fuels like e-fuel, gaseous fuels, methane, fuels made from CO2, and methanol as well as technologies like direct air capture, carbon capture, utilisation, and storage (CCUS), or carbon recycling.

As Russia’s invasion of Ukraine has disrupted energy supplies around the world, the two ministers also reaffirmed the importance of securing stable provisions by advancing dialogue between oil producers and importers.

Japan’s Minister of Economy, Trade and Industry Nishimura visited Saudi Arabia and Oman for discussions on the supply and stabilization of oil and liquefied natural gas and seeking cooperation in such new areas of hydrogen and ammonia.