Japan's JERA, IHI to work on ammonia use at Malaysian coal power plants

TOKYO (Reuters) - Japan's biggest power generator, JERA, said on Wednesday it will collaborate with Japanese heavy-industry manufacturer IHI Corp to explore ways to expand the use of ammonia as a fuel at coal-fired power plants in Malaysia.

The two companies have been working together on co-firing ammonia with coal at a large commercial power plant in Japan to cut carbon dioxide (CO2) emissions.

Under a memorandum of understanding signed by their subsidiaries, JERA Asia and IHI AP, they will jointly study ammonia co-firing in thermal power plants in Malaysia to contribute to decarbonisation there, JERA said in a statement.

JERA can contribute to decarbonisation in Malaysia by working with IHI, which has a record of delivering more than 50% of installed coal power boiler capacity in operation there, it added.

JERA is a joint venture between Tokyo Electric Power and Chubu Electric Power. IHI makes power generating boilers and other industrial systems and machinery.

(Reporting by Yuka Obayashi; Editing by Robert Birsel)