27-04-2023

MHI and Saipem to collaborate on CO2 capture technologies

Mitsubishi Heavy Industries Ltd, has concluded a General License Agreement with Saipem S.p.A., one of major engineering companies in Italy, under which MHI will provide Saipem with its proprietary “KM CDR Process™” and “Advanced KM CDR Process™” technologies for use in CO2 capture plants. Both technologies were jointly developed with The Kansai Electric Power Co., Inc.

Saipem is a leading global solution provider that performs engineering, procurement, construction and project management in the energy and infrastructure sector. With bases in more than 70 countries, the company possesses advanced, innovative engineering technologies and has a solid track record in completed deliveries. MHI has had a cooperative relationship with Saipem for many years relating to the latter’s Snamprogetti™ Urea technology, resulting in construction of world-class scale fertilizer plants. Now, through the collaboration in CCUS (Carbon Capture, Utilization and Storage), a structure is in place enabling execution of CO2 capture plants making use of the two partners’ respective strengths.

The strategic new tie-up is aimed at expanding sales of CO2 capture plants to Saipem’s core business fields especially in Europe and the Middle East, where demand of decarbonization would be increasing in the years ahead. With ability to accommodate numerous projects, MHI looks to ensure a leading position in the developing global CCUS market. The newly expanded collaboration with Saipem can be expected to further advance MHI’s global CCUS strategy in addition to other partnerships MHI has formed over the years globally.

Fabrizio Botta, Saipem's Chief Commercial Officer, commented: “This agreement, signed with a key partner such as Mitsubishi Heavy Industries, allows Saipem to combine its expertise and track-record in designing and building Upstream, Mid-stream and Downstream facilities with the most advance post-combustion technology for large plants. This enables Saipem to further consolidate its position and expand its portfolio of solutions in the decarbonisation sector”.

Kenji Terasawa, CEO and Head of Engineering Solutions said: “We are pleased to be partnering with Saipem, with whom we have had a longstanding relationship in other fields, in the CO2 capture business. With this agreement, we would like to collaborate with Saipem for numerous projects in Europe and the Middle East etc., to lead a global CCUS market growth as an innovative solutions provider. We will accelerate the CO2 capture business and create CCUS value chain in order to achieve a carbon neutral society.”

MHI has declared MISSION NET ZERO to achieve carbon neutrality by 2040, and the Company is now undertaking strategic initiatives toward decarbonizing the energy supply side. Core among those efforts is the development of a CO2 solutions ecosystem, which links diverse carbon emission sources with storage and utilization. Going forward, the Company’s Engineering Solutions integrated into MHI in this April and possesses proprietary CO2 capture technologies, will vigorously advance MHI Group’s CCUS operations, and contribute to reducing greenhouse gases on global scale. MHI will also press ahead in developing new solutions to contribute to global environmental protection.