Japan Petroleum Exploration Co., Ltd. (JAPEX), Idemitsu Kosan Co., Ltd. (Idemitsu), and Hokkaido Electric Power Co., Inc. (HEPCO)—collectively known as the "Three Companies"—have entered into a contract with the Japan Organization for Metals and Energy Security (JOGMEC) to undertake engineering design work for a carbon capture and storage (CCS) project in the Tomakomai region. This collaboration is part of a public solicitation for the "Engineering Design Work for Advanced CCS Projects" for the fiscal year 2024.

The Three Companies were selected through this public solicitation based on their proposal for the Tomakomai CCS project. Their responsibilities include conducting the "basic engineering design for the CCS value chain" and assessing the CO2 storage potential at the proposed storage site. This follows a feasibility study completed in fiscal year 2023, with the goal of launching CCS projects by fiscal year 2030.

As part of the engineering design efforts, the Three Companies will perform detailed technical studies on various aspects of the CCS process, including CO2 separation and capture, transportation, and storage. Idemitsu and HEPCO will specifically focus on the basic engineering design of necessary equipment at each CO2 emission source to facilitate CO2 separation and capture. Meanwhile, JAPEX will handle the design of pipelines and associated equipment to connect each emission source to the selected storage site.

Moreover, JAPEX is tasked with designing the equipment required for injecting and monitoring deep saline formations in the sea area surrounding Tomakomai. The aim is to achieve a CO2 storage capacity of 1.5 to 2 million tons annually by 2030. In addition to these efforts, JAPEX will also carry out preparatory activities for an exploratory well, which includes site construction, equipment procurement, drilling, and data analysis to evaluate the site's CO2 storage potential.

Through these engineering design initiatives, the Three Companies aim to not only launch CCS projects by 2030 but also to explore future opportunities in Hubs & Clusters for carbon capture, utilization, and storage (CCUS) operations. This aligns with their commitment to achieving carbon neutrality by 2050.

The Three Companies are also focused on fostering commercialization of CCS technology while engaging with the local community. They emphasize the importance of dialogue with local residents, government officials, the fishing industry, and businesses in the Tomakomai area to build understanding and support for the CCS initiative. This collaborative approach is vital for the successful implementation of CCS projects and contributes to broader environmental sustainability goals in Japan.