JCorp, Sojitz to jointly undertake study on use of hydrogen fuel

KUALA LUMPUR: Johor Corporation (JCorp) and Sojitz Corporation have signed a memorandum of understanding (MoU) to conduct a three-year joint feasibility study on decarbonisation via the utilisation of hydrogen fuel in Johor.

JCorp was represented by JLand Group Sdn Bhd (JLG), the company's real estate and infrastructure arm, while Sojitz was represented by its regional headquarter for Asia and Oceania, Sojitz Asia Pte. Ltd.

Under the MoU, both parties will collaborate on several decarbonisation initiatives among which to create a sustainable supply chain in hydrogen fuel from ammonia importation.

JCorp president and chief executive Datuk Mohamed Syed Ibrahim said the MoU signified a major milestone as the company embarked on its journey towards net zero carbon emission by 2050.

"This strategic initiative with Sojitz is in line with JCorp's commitment in establishing the sustainability agenda across our business value chain. We are hopeful that this collaboration will contribute to the development of hydrogen supply chain in Johor and for the region," he said in a statement.

Mohamed Syed Ibrahim, who is also chairman of JLG, added that a lot of pressure had been placed on the logistics players to decrease carbon footprint in their operations.

"This signing is a right step towards advancing our economies from fossil-based fuels to alternative energy.

"It is not just an investment into future proofing and providing sustainability to JCorp's businesses, but also to drive the new economy for the state while fulfilling our environmental, social and governance commitments in creating a greener energy for future industries and generations to come," he said.

The companies are hopeful that the outcome of the study will lead to the ability to supply green energy to various industries in Johor.

The study is also aimed at developing an ammonia receiving terminal, bunkering supply base, ammonia-fired gas turbine power plant to supply green power to industry customers, and a comprehensive decarbonisation plan for JCorp's port operations to establish a carbon-neutral port within Tanjung Langsat Port Terminal (TLPT).

Sojitz is promoting the development of a value chain using next-generation fuels such as hydrogen, utilising its business experience in various industries in Asia and all over the world.

In this collaboration, Sojitz will lead the negotiation with the hydrogen and ammonia production side, examining optimal transportation methods, and estimating economic feasibility.

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