November 2, 2021
ENEOS Corporation
Chiyoda Corporation
Queensland University of Technology

ENEOS, Chiyoda, and QUT Successfully Scaled Up
an Australian CO2-Free Hydrogen Supply Chain Demonstration using Direct MCH®
~Filling a FCV with hydrogen derived from renewable energy~
ENEOS Corporation (President: Ota Katsuyuki; “ENEOS”), Chiyoda Corporation (President: Masaji
Santo; “Chiyoda”), and Queensland University of Technology (President: Margaret Sheil; “QUT”)
announced that they had succeeded in expanding the scale of their technological verifications of CO2free hydrogen to a practical level for the first time in the world. We commenced technical verifications of
the production, transportation, and dehydrogenation of CO2-free hydrogen in 2018.
In order to store and transport hydrogen, it was previously necessary to store hydrogen produced via
water electrolysis in a tank, then convert it to methylcyclohexane (“MCH”), which is a type of organic
hydride. The technology developed by ENEOS significantly simplifies this process, by directly producing
MCH from water and toluene through the electrochemical synthesis of organic hydride*2(Direct MCH® *3).
In March 2019, ENEOS, Chiyoda and QUT succeeded in directly producing MCH from water and toluenederived from Australian renewable energy, transporting this MCH to Japan, and extracting hydrogen fromit. This was the first successful verification of such a technology in the world, but produced only a labsized amount of MCH containing 0.2 kilograms of hydrogen. We have expanded the scale of MCH
produced to a practical level so that it contains approximately 6 kilograms of hydrogen; they have also
extracted hydrogen from this MCH in Japan, and actually used the hydrogen to fill and drive a fuel cellelectric vehicle (FCEV).
For the reasons listed below, the technologies of ours used in this technological verification are superior
to other technologies for a transportable hydrogen supply chain.
PartyTechnologyFeatures

QUT

Concentrated

A power generation system that captures sunlight by gathering

Photovoltaic Powersolar irradiation with a Fresnel lens and adjusting the orientation

Generation Systemof solar panels according to the position of the sun; compared to
fixed-array solar panels, the system generates a much higher
amount of electricity per unit surface area.

ENEOS

Direct MCH®

A high-efficiency electrolysis process that converts toluene
directly into MCH, without first converting it into hydrogen; it iscapable of reducing facility costs for MCH production byapproximately 50%*4 compared to the conventional process toproduce MCH.

ChiyodaDehydrogenation

Using independently developed catalysts and dehydrogenation

technologies

reactors, the technologies generate extremely high hydrogenyields from MCH.

In anticipation of a hydrogen-oriented society, ENEOS intends to further increase production volumes ofMCH. The current technological verification is the first stage of an initiative to scale up the electrolyte cellrequired for its Direct MCH® technology. In 2023, ENEOS plans to complete a medium-sized electrolyzer
with an output of 150 kilowatts (with an electrode surface area of about 3 square meters), which will form
the basis of a larger-sized electrolyzer. In 2025, the company aims to develop a larger-sized electrolyzer
with an output of 5 megawatts. Looking further ahead, ENEOS is engaged in technological developmentwith the goal of establishing CO2-free hydrogen supply chains by around 2030.
ENEOS, Chiyoda, and QUT will continue their industry-academia collaboration with the goals ofdeveloping and implementing commercial-scale technologies for the production of CO2-free hydrogenat the earliest opportunity, and of contributing to the realization of carbon neutrality in Japan by 2050.

*1 Normal temperature, normal pressure liquid with a mass of 1/500 of hydrogen gas. It is characterizedby ease of handling in storage and transport.
*2 Direct MCH electrochemical synthesis is a method of producing MCH directly from water andtoluene, derived fromrenewable energies or other sources of electricity.
For further details about Direct MCH electrochemical synthesis, please see the following news release:<Succeeded in the world's first technical verification to produce "CO2-free hydrogen" at low cost | NewsRelease | ENEOS Corporation>*3 Direct MCH® is a registered trademark of ENEOS Corporation.

Part of the development of this technology was carried out in partnership with Professor Shigenori
Mitsushima of National University Corporation YOKOHAMA National University, and De Nora Permelec
Ltd.
*4 “Approximately 50%” is the estimated cost, calculated by ENEOS, for when the technology is at scalein the future.

Reference
Technological verification process and image

1. QUT generates power using its Concentrated Photovoltaic Power Generation System
2. Using the 100-percent renewable electricity generated from 1., a 2-kilowatt electrolyte cell system thatincorporates Direct MCH® technologies is used to produce MCH in Australia
3. This MCH—which contains approximately 6 kilograms of hydrogen, enough to fill one FCV—istransported to Japan
4. Chiyoda dehydrogenates the MCH and purifies the resulting hydrogen so that it meets the ISO 14687
international standard
5. The CO2-free hydrogen is used to fill an FCEV at the ENEOS Tokyo Itabashi Hydrogen Station, and it
is verified that the FCV can actually be driven

Roadmap for future development of Direct MCH® technologies

Image of process simplification by Direct MCH®

Overview of Direct MCH electrochemical synthesis (Direct MCH®)

Hydrogen gas has low energy density, requiring large volumes of space for storage, and must therefore
be liquefied at -253˚C. For this reason, developing technologies to transport hydrogen is of the utmosturgency.
ENEOS independently developed Direct MCH® technology uses electrochemical reactions, similar towater electrolysis, to produce MCH directly, by causing toluene, an organic substance, to add hydrogen.
Since MCH is a liquid at normal temperature, it can be transported in a similar way to oil; and since DirectMCH® does not require hydrogen gas to be produced as an intermediate step, it has the potential tosignificantly reduce costs associated with the production of CO2-free hydrogen.

Media contacts:ENEOS Corporation

PR Department PR Group

Email: pr@eneos.com

Chiyoda Corporation
Queensland University of Technology

IR, PR & CSR Section
Ian Mackinnon Professor

Email: irpr@chiyodacorp.com+61-7-3138-7656