The cooperation between ExxonMobil and Mitsubishi would 'develop low-carbon hydrogen and ammonia supply chains that will bridge the United States and Japan'.

TOKYO (Reuters) - Japanese trading house Mitsubishi said on Friday it has reached a preliminary agreement to buy a stake in and offtake low-carbon ammonia from ExxonMobil's hydrogen facility in Texas.

Mitsubishi Corp. is in talks to buy a stake in Exxon Mobil’s project in Baytown, Texas, which aims to be the world’s largest low-carbon ammonia facility.

ExxonMobil has signed a project framework agreement with Japan’s Mitsubishi for participation in its proposed hydrogen and ammonia facility in the US state of Texas. Under the agreement, the companies will continue discussions on Mitsubishi’s acquisition of low-carbon ammonia and its potential investment in the project.