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Saskatchewan Based Joint Study Team Formed For CCUS Technologies

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Tokyo and Regina, October 24, 2016 - Japan Coal Energy Centre (JCOAL), Mitsubishi Heavy Industries, Ltd. (MHI) and Mitsubishi Hitachi Power Systems, Ltd. (MHPS) (jointly called "Japanese Consortium"), together with The International CCS Knowledge Centre (Knowledge Centre)*, are pleased to announce a collaboration on a study to jointly assess the feasibility of the potential application of Japanese technologies in future CCUS (Carbon, Capture, Utilization and Storage) projects in Saskatchewan.

The collaboration, which is sponsored by Japan's New Energy and Industrial Technology Development Organization (NEDO), is intended to show how Japanese technologies could improve CCS (Carbon Capture System) and AQCS (Air Quality Control System) applications for CCUS projects in Saskatchewan, as well as identify potential global applications of these technologies.

CCS has been identified as a key technology which is required to meet international targets for climate change. Through this project, the Japanese Consortium aims to optimize a CCS application with AQCS from the technical and commercial aspects, in order to meet with the requirements in Saskatchewan and contribute to carbon emission reduction in Canada.

Saskatchewan has been chosen as the reference location for this project because the province has established CCS expertise, and also because the Knowledge Centre has access to SaskPower's experience in carbon capture, which would be applicable to the study.

JCOAL is a one-stop organization from coal mining to utilization, operated under supervision of the Ministry of Economy, Trade and Industry (METI). JCOAL is supported by its members - companies and organizations in a wide range of coal related businesses, such as coal mining, power production, steel manufacturing, engineering and technical advisory services, and other heavy industrial and trading businesses. JCOAL is in charge of coordinating the overall report based on the input from relevant members.

MHI's CO2 capture technology, known as the KM CDR Process®, uses proprietary KS-1™, a high-performance solvent for CO2 absorption and desorption that was jointly developed by MHI and the Kansai Electric Power Co., Inc. Compared with other CO2 capture technologies, the KM CDR Process® uses significantly less energy. Its outstanding performance is highly regarded, and the process has been adopted in eleven (11) operating CO2 capture plants plus two (2) plants currently under construction in USA and Japan.

MHPS is a joint venture formed in 2014 by Mitsubishi Heavy Industries, Ltd. and Hitachi, Ltd., integrating their operations in thermal power generation systems. MHPS has a 45-year cooperative relationship with the Province of Saskatchewan in the power generation field and has provided power generation equipment in the region. MHPS is responsible for Flue Gas Desulfurization (FGD) in the study project, utilizing a proven track record of supply of over 300 FGD systems to thermal power plants around the world for the removal of sulfur dioxide (SO2) from flue gas.

* The International CCS Knowledge Centre is a not for profit organization that is an initiative of BHP Billiton and SaskPower. It aims to advance CCS through the sharing of information relating to SaskPower's carbon capture projects. The Centre is located in Regina, Saskatchewan, Canada.

About MHI Group

Mitsubishi Heavy Industries (MHI) Group is one of the world’s leading industrial groups, spanning energy, smart infrastructure, industrial machinery, aerospace and defense. MHI Group combines cutting-edge technology with deep experience to deliver innovative, integrated solutions that help to realize a carbon neutral world, improve the quality of life and ensure a safer world. For more information, please visit www.mhi.com or follow our insights and stories on spectra.mhi.com.