J-Power Teams Up with Australian Firms on Carbon Capture

(Reuters) — Japanese utility Electric Power Development (J-Power) has signed a joint study agreement with two Australian carbon capture and storage developers, deepC Store and Azuli, for a strategic partnership, they said on Wednesday.

The two Australian companies have been awarded two greenhouse gas assessment permits, or GHG acreages, in the Bonaparte and Browse Basins, some 200-250 km off Australia's Northwest coast.

Through the partnership, the three companies aim to commercialize a project to capture carbon dioxide (CO2) emitted in Japan, Australia and the surrounding region and store it in Australia, they said in a statement.

J-Power intends to become a joint venture participant in the GHG acreages, which could permanently store up to 1 billion metric tons of CO2.

The Japanese utility will also make a cash contribution to the joint study and secure rights to a participating interest in the venture developing the GHG acreages.

The three companies aim to develop a full value chain project, receiving liquefied CO2 at locations in Japan, Australia and the surrounding region, and transporting it by ship to floating storage and injection facilities in Australian waters, they said.

Australia, one of the world's largest liquefied natural gas exporters, is banking on CCS technology to decarbonize its industries and continue expanding its LNG production to meet demand from top buyers such as Japan and South Korea.

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