Sumitomo Corporation, Kawasaki Kisen Kaisha, Ltd. (“K” LINE), and Hilcorp Alaska have entered into a joint study agreement to explore the feasibility of carbon capture and storage (CCS) in Alaska, USA.
This collaboration marks the first instance of a Japanese company engaging in a joint study with U.S. entities aimed at establishing a cross-border CCS value chain. The project envisions capturing CO2 in Japan and transporting it to Alaska via large liquefied CO2 vessels for sequestration. The initiative will be developed in partnership with both the Japanese and U.S. governments, with a signing ceremony held during the “4th Japan-U.S. CCUS Working Group” on October 11, 2024.
The Japanese government is actively working to create a favorable business environment for CCS projects by 2030. In line with this initiative, a fact sheet from the Japan-U.S. Joint Leaders’ Statement in April 2024 highlighted plans to evaluate the feasibility of cross-border carbon dioxide transport and storage hubs between Japan and Alaska.
The joint study will involve technical research on CO2 storage capacity, the requirements for liquefied CO2 vessels, and an assessment of the business landscape to determine the project’s viability.
Alaska has been a site for oil and gas development since the 1950s, with a total CCS project storage capacity projected at 50 gigatons, which is equivalent to Japan’s CO2 emissions over a 50-year period. The state’s established infrastructure, including LNG terminals and pipelines, along with data from prior oil and gas projects, positions it as a promising location for CCS initiatives.
