Japan, South Korea cooperate to invest in hydrogen in the Middle East

Japan and South Korea are seeking to co-invest in and develop ammonia and hydrogen supply projects, “Nikkei” reported, as the two countries look to the next generation of fuels to ensure their transition to clean energy sources.

The report indicated that government-backed financial institutions would assist the two countries’ companies in raising funding to support external projects in areas including the Middle East.

The report also stated that the two countries would cooperate to take advantage of their ability to negotiate fuel prices.

The two countries seek to use ammonia and hydrogen as a tool to reduce carbon emissions from hard-to-dilute industries, including steel and cement.

Japanese electricity producers plan to participate in burning ammonia and hydrogen with coal and natural gas in power plants to obtain electricity supplies, although critics claim this technology will remain costly and will not adequately limit emissions.

Japanese Prime Minister Fumio Kishida and South Korean President Yun Sok-yul will announce the plan, known as the “Global Value Chain for Hydrogen Ammonia,” on November 17 during their visit to the United States for the Asia-Pacific Economic Cooperation Forum.