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August 20, 2008 No.1251

MHI Receives Front End Engineering and Design Order
For CO2 Recovery Facility at Gas Fired Power Generation Plant in Norway
-- One of the World's Largest Recovery Capacities, 3,000 Tons/Day --

Tokyo, August 20, 2008 - Mitsubishi Heavy Industries, Ltd. (MHI) has signed a contract to carry out the technical pre-studies (FEED studies: Front End Engineering and Design) for the planned carbon dioxide (CO2) capture plant in Norway from Gassnova SF in Norway. If the FEED study is considered to be qualified, MHI will be granted to take part in the competition of constructing the CO2 capture facility, which is the one of the world's largest carbon capture and storage (CCS) facilities. The planned facility will capture approximately 3,000 tons of CO2 from flue gas emitted from an existing 420 MW gas fired power generation plant in Kårstø, which is located on Norway's southwest coast. Based on the FEED contract, MHI will compete with other companies on CO2 capture technology, performance of the facility and construction and operation costs of the planned CO2 recovery plant.

While CCS facilities with recovery capacities of several hundred tons/day have already been operated in other countries, including the U.S., the planned facility in Norway will be approximately ten times larger. CCS is regarded as one of the most promising technologies for preventing global warming.

Gassnova SF was established by the Norwegian Government to manage Norwegian governmental interest and support technology development within the area of CO2-management (capture, transport, injection and storage) addressing global warming prevention needs.

MHI's technology for absorbing and desorbing CO2 from flue gas using its proprietary KS-1 solvent involves considerably lower energy consumption compared with other processes. Since delivering its first overseas CO2 recovery plant to Malaysia in 1999, the company has provided or is providing the technology to India, the United Arab Emirates, Bahrain and Pakistan.

In addition to CCS, another important potential application of CO2 recovery technology is enhanced oil recovery (EOR) enabling increased crude oil production; in this case, CO2 is injected into an oil reservoir to increase the productivity. Due to the recent surge in oil prices, demand for EOR has been rising especially sharply. Going forward, MHI intends to promote its large-scale CO2 recovery facilities for EOR applications, as well as for CCS applications.

 

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