Next Generation Thermal Power Plant to be Constructed on Former Refinery Plot, Supplying 300,000MWh of Power

Showa Shell Sekiyu announced today that it will build a thermal power plant fueled by woody biomass on the site of its former Ohgimachi plant at the Keihin refinery complex. The decision comes as Showa Shell Sekiyu implements its Medium-Term Business Action Plan, and represents a further step towards its goal to expand scale and sources of power generation in the Electric Power Business. Growing the Power Business as the third pillar in the company's portfolio along with its Oil and Solar businesses is part of Showa Shell Sekiyu's strategy to deliver future growth through structural business transformation. This plant, coupled with the recent approval of the expansion of the LNG-fired Ohgishima Power Plant and solar power plants will result in Showa Shell making significant additions to its power generation portfolio in the next few years.

Being close to a major urban area, the project boasts infrastructural advantages, and its coastal location is convenient for ships to deliver fuel which makes the project logistically sound. Using environmentally friendly biomass fuel will help ease tight demand for electricity in Japan, and the project falls under the Japanese government's renewable energy feed-in tariff scheme.

This power plant project is a major step in Showa Shell Sekiyu Group's vision to pursue innovative new ways to deliver renewable energies that match the needs of Japan's society and create new value into the future as an "Energy Solution Provider". The company will continue to maximize the potential of oil, its core energy source, while developing new energy sources that answer the demands of society like solar power and ever-more efficient, clean electricity to deliver stable energy supply.

Project Outline:

Location : Ohgimachi, Kawasaki Ward, Kawasaki City, Kanagawa Prefecture, Japan (site of former Ohgimachi plant at the Keihin refinery complex)
Output : 49MW
Capacity : 300,000MWh (equivalent to the amount of electricity needed to power 83,000 homes per year *)
* Using 300kWh as average monthly electrical consumption of an average Japanese household - Agency for Natural Resources and Energy
Fuel : Woody Biomass / Palm Kernel Shells
Groundbreaking Date : May, 2014
Startup Date : December, 2015

Showa Shell Sekiyu K.K.

Showa Shell Sekiyu K.K. is listed on the Tokyo Stock Exchange and has roots dating back more than 100 years in the downstream energy business.

MEDIA CONTACTS

Satoshi Yoshida, PA Dept., Showa Shell Sekiyu
Tel : +81-3-5531-5793


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