Memorandum of Understanding for commercialization of compact ammonia-derived hydrogen production system

Toyo Engineering Corporation (President & CEO: Eiji Hosoi, hereinafter "TOYO"), Nippon Seisen Co.,Ltd. (President and CEO: Kazuhiro Toshimitsu, hereinafter "Nippon Seisen"), Chubu Electric Power Co., Inc. (President & Director: Kingo Hayashi, hereinafter "Chubu Electric Power") and Chubu Electric Power Miraiz Co., Inc. (President: Hironori Kamiya; hereinafter "Miraiz") have concluded a Memorandum of Understanding (hereinafter "MOU") to jointly study the commercialization of a compact ammonia cracking system (hereinafter "the system") to produce hydrogen from ammonia for the purpose of further utilization of hydrogen.

In order to achieve carbon neutrality in 2050, factories and commercial facilities are required to convert their conventional fossil fuel to decarbonized fuels (ammonia, hydrogen, etc.). Among decarbonized fuels, hydrogen has a higher combustion temperature than ammonia, and also its use as a fuel for small boilers, engines, etc. is expanding.
Compared to hydrogen on the other hand, ammonia, since its transport and storage technologies are well established, is expected to play a role as a hydrogen carrier for transporting large quantities of hydrogen. Given these factors, we believe that the need for ammonia-derived hydrogen will increase in the future.

TOYO and Nippon Seisen have long been involved in the development of compact system to produce hydrogen from ammonia at customers' premises. Under this MOU, Chubu Electric Power and Miraiz will conduct market research and economic evaluation on the system, as well as study the technical requirements necessary for its commercialization. Taking these into account, TOYO and Nippon Seisen will proceed with this development, and the four companies will jointly conduct a demonstration test at the customer's premises, aiming for the first practical application of the system in Japan.

The four companies will contribute to the realization of a carbon-neutral society by facilitating customers' efforts to decarbonize their businesses through solutions to issues related to the further utilization of hydrogen.