K Line – In a landmark development for cross-border carbon capture and storage (CCS) efforts, Sumitomo Corporation, Kawasaki Kisen Kaisha, Ltd. (“K” LINE), and Hilcorp Alaska have entered into a joint study agreement to assess the feasibility of a CCS project in Alaska, USA. This marks the first feasibility study by Japanese companies for the realization of cross-border CCS between Japan and the United States, a significant step toward commercializing CCS technology between the two nations.
A Pioneering Cross-Border Initiative
The feasibility study, announced following the 4th Japan-U.S. CCUS Working Group held on October 11, 2024, will explore the establishment of a comprehensive CCS value chain. The process involves aggregating CO2 emissions in Japan, transporting them via large liquefied CO2 vessels to Alaska, where they will be sequestered and stored. This is the first time a Japanese company has ventured into a CCS study that spans both Japan and the U.S., highlighting the growing importance of international cooperation in tackling climate change.
Joint Effort for Carbon Neutrality
Each company brings unique expertise to this ambitious project. Sumitomo Corporation has prioritized climate change mitigation and aims to achieve carbon neutrality by 2050. Through the promotion of public-private partnerships and innovative projects like CCS, Sumitomo aims to enhance the sustainability of Japanese industries while bolstering its corporate value.
“K” LINE, a global leader in maritime transport, is equally committed to decarbonizing its operations and supporting broader societal efforts toward carbon neutrality. In line with its “Environmental Vision 2050,” the company plans to launch the world’s first large-scale CCS transport initiative next year. By leveraging the knowledge and experience gained from this joint study, “K” LINE seeks to further develop its CCS business, positioning itself as a critical player in the sustainable shipping industry.
Hilcorp Alaska, with its vast experience in oil and gas development in the region, will play a key role in the study by evaluating CO2 storage potential in Alaska. The state has long been recognized as a promising hub for CCS projects, with storage capacity estimated at 50 gigatons — equivalent to Japan’s CO2 emissions over 50 years.
Strategic Significance for Japan and the U.S.
This joint study aligns with broader efforts by the Japanese and U.S. governments to foster CCS project development by 2030. In April 2024, the Japan-U.S. Joint Leaders’ Statement highlighted the need to explore cross-border CO2 transport and storage between Japan and Alaska. The two countries are actively working to assess the feasibility of this initiative, with the study aiming to address key technical, environmental, and business factors.
Alaska’s potential as a CCS hub is further supported by its existing infrastructure, including LNG terminals, port facilities, and pipelines, all of which could be repurposed to support CCS operations. The study will also focus on the technical requirements for liquefied CO2 vessels, ensuring that the transport of CO2 across the Pacific is safe and efficient.
Toward a Sustainable Future
With oil and gas field development in Alaska dating back to the 1950s, the region offers a wealth of data and infrastructure that can be repurposed for CO2 storage. The successful implementation of CCS between Japan and Alaska could pave the way for broader international cooperation in carbon management and significantly contribute to global carbon neutrality goals.
The agreement between Sumitomo Corporation, “K” LINE, and Hilcorp Alaska marks a critical step in realizing the potential of CCS technology on a global scale, laying the foundation for a sustainable energy future.
About Sumitomo Corporation
Sumitomo Corporation is a global enterprise committed to driving sustainability and carbon neutrality through innovative solutions. The company aims to address the pressing issue of climate change by integrating carbon capture and storage (CCS) into its business model, contributing to decarbonization efforts in Japan and around the world.
About Hilcorp Alaska
Hilcorp Alaska is a leading energy company with decades of experience in oil and gas development in Alaska. As part of its commitment to sustainability, Hilcorp is exploring CCS opportunities to leverage Alaska’s unique geological and infrastructural advantages for long-term CO2 storage.
About K LINE
Kawasaki Kisen Kaisha, Ltd. (“K” LINE) is a leading maritime transportation company headquartered in Japan. With a strong commitment to sustainability, “K” LINE is focused on reducing its carbon footprint and advancing low-carbon technologies, including its pioneering efforts in carbon capture and storage (CCS) transport. Through its “Environmental Vision 2050,” “K” LINE is working to create a carbon-free future while delivering world-class maritime services.
Source “K” Line