Mitsubishi Gas Chemical Company, Inc. has commenced the construction of a methanol production demonstration facility at its Mizushima Plant. This facility will leverage a variety of gases, including CO2 and industrial by-product gases, as raw materials for methanol synthesis, marking a significant step toward advancing sustainable chemical production.

The initiative is in line with the objectives outlined in the Memorandum of Understanding signed with JFE Steel Corporation and Mitsubishi Chemical Corporation, as announced on March 24. The Demonstration Facility will have an annual production capacity of 100 tons of methanol and is expected to commence demonstration operations in fiscal year 2026. This development underscores MGC’s commitment to pioneering innovative solutions in chemical manufacturing while contributing to carbon recycling and greenhouse gas (GHG) emission reduction.

Recognizing the importance of reducing GHG emissions in industrial sectors, MGC’s project has been selected as an indirect subsidy project for FY2024 under the "Subsidy for Petroleum Supply Structure Improvement Projects" program. This initiative is operated by the Ministry of Economy, Trade & Industry’s Agency for Natural Resources and Energy. Given the urgent need to address climate change, the industrial sector faces mounting pressure to adopt more sustainable practices, and methanol has emerged as a key component in this transition.

Methanol is widely regarded as a fundamental chemical compound with a broad range of applications. It can be synthesized from various carbon sources, including captured CO2, waste plastics, and biomass, making it a promising candidate for next-generation energy solutions. Additionally, methanol is gaining traction as a sustainable fuel alternative, particularly in the maritime industry, where it is seen as a viable option for reducing carbon emissions. Its versatility and potential to support carbon recycling make it an essential material in efforts to create a circular economy.

As a leading methanol manufacturer, MGC is leveraging its decades of experience and expertise to drive sustainable innovations. The company is actively promoting its resource-recycling platform, "Carbopath™," which fosters cross-sector collaboration to establish a sustainable methanol-based ecosystem. The Demonstration Facility will play a crucial role in validating methanol production technologies that utilize diverse raw material gases, including CO2 and by-product gases from industrial processes.

Starting in FY2026, the facility will focus on demonstrating the feasibility of producing methanol by directly reacting hydrogen with by-product gases generated from steel manufacturing. Notably, the facility is designed as a mobile unit, enabling future technology demonstrations at multiple locations across Japan. This adaptability enhances its potential to contribute to broader industrial applications and carbon reduction efforts.

Through this initiative, MGC reaffirms its dedication to advancing sustainable chemical production and promoting resource efficiency. By developing cutting-edge methanol production technologies, the company aims to contribute to a carbon-neutral society and support global efforts to mitigate climate change.