Kawasaki and McDermott firm to build and launch commercial-scale LH2 supply chain

Business Developments & Projects

Japanese conglomerate Kawasaki Heavy Industries has entered into a strategic agreement with CB&I, a wholly-owned unrestricted subsidiary of McDermott, to promote a commercial-use liquefied hydrogen (LH2) supply chain.

Courtesy of McDermott

Under the agreement signed on September 18 during Gastech 2024 in Houston, Kawasaki and CB&I will use their specialized know-how to provide necessary infrastructure for building and launching commercial-scale international LH2 supply chains, aiming to help achieve carbon neutrality.

The collaboration is expected to reduce LH2 infrastructure costs and contribute to more widespread use of this energy source.

“We are very pleased for this opportunity to build and launch a commercial liquefied hydrogen supply chain in cooperation with CB&I,” said Motohiko Nishimura, President, Energy Solutions & Marine Engineering Company, Kawasaki Heavy Industries, Ltd.

“By taking advantage of both companies’ strengths and specialized know-how, we aim to cost down hydrogen, strengthen hydrogen supply chain competitiveness, and accelerate the transition to a zero-carbon society.”

Mark Butts, Senior Vice President of CB&I, commented: “This strategic partnership represents a significant advancement in liquid hydrogen storage capabilities. Our technical expertise and extensive experience in liquid hydrogen storage position us at the forefront of the energy transition, delivering reliable storage solutions and executing projects worldwide with proven success.”

During this year’s Gastech exhibition, CB&I, in cooperation with South Korean shipbuilder Hanwha Ocean, secured approval in principle (AiP) for the design of a cargo containment system and an 80,000 cubic meter LH2 carrier from classification society DNV.

At the beginning of 2024, Kawasaki, together with compatriot companies INPEX Corporation and Iwatani Corporation, received green light to create a joint venture (JV) that aims to develop a liquefied hydrogen supply chain related primarily to the liquefaction of hydrogen in Australia and its transport to Japan.