MHI Agrees to Collaborate with Chiyoda Corporation for Licensing of CO₂ Capture Technologies -- Partnership Will Strengthen MHI's Position in Japan's Growing CCUS Market --

Tokyo, May 7, 2024 - Mitsubishi Heavy Industries, Ltd. (MHI) has concluded a General License Agreement (GLA) with Chiyoda Corporation (Chiyoda). Under this strategic collaboration agreement, MHI will grant license of "KM CDR Process™" and "Advanced KM CDR Process™" to Chiyoda, which is jointly developed with The Kansai Electric Power Co., Inc., and Chiyoda can provide EPC services to customers for CO₂ capture projects in Japan.

Through this collaboration, MHI aims to enhance its Engineering, Procurement and Construction (EPC) capabilities to develop CO₂ capture projects in Japan, where demand for carbon dioxide capture, utilization and storage (CCUS) is expected to increase. Chiyoda, a global leader in engineering, has been involved in EPC for various types of plants and has a strong track record in infrastructure engineering capabilities, including liquefaction and injection facilities. Through this collaboration, the two companies will leverage their respective strengths to meet decarbonization needs in a wide range of industries.

MHI is expanding the regional coverage and capabilities of its CCUS business by partnering with a diverse group of companies around the world. This collaboration is the latest of MHI's efforts focused on the Japanese market, where, thanks to this agreement, MHI will be able to execute many projects independently as well as through strategic collaboration with its partners.

MHI Group has formally declared its intent to achieve carbon neutrality by 2040, and the Company is now working strategically to decarbonize both the energy demand and supply sides. A core element of the Company's "Energy Transition," which targets decarbonization on the energy supply side, is the development of a CO₂ solutions ecosystem integrating diverse sources of carbon emissions with modes for carbon storage and utilization. Going forward, MHI Group will continue to proactively promote its CCUS business worldwide, applying its proprietary CO₂ capture technologies, contributing as a solutions provider to reducing greenhouse gas emissions on a global scale, and developing further solutions that contribute to environmental protection.

About MHI Group's CO₂ capture technologies
MHI Group has been developing the KM CDR Process™ (Kansai Mitsubishi Carbon Dioxide Recovery Process) and the Advanced KM CDR Process™ in collaboration with the Kansai Electric Power Co., Inc. since 1990. As of May 2024, the Company has delivered 16 plants adopting the KM CDR Process™, and two more are currently under construction. The Advanced KM CDR Process™ adopts the KS-21™ solvent, which incorporates technological improvements over the amine-based KS-1™ adopted at all 16 of the commercial CO₂ capture plants delivered to date. The advanced version offers superior regeneration efficiency and lower deterioration than the KS-1™, and it has been verified to provide excellent energy saving performance, reduce operation costs, and result in low amine emissions.

For further information on MHI Group's CO₂ capture plants:

• https://www.mhi.com/products/engineering/co2plants.html