IHI Signs Cooperation Agreement with Babcock Power Inc. Subsidiaries for Low-Carbon Fuel Conversion of Power Generation Boilers

IHI signed a cooperation agreement with Babcock Power Services Inc. and Riley Power Inc. (collectively BPS), subsidiaries of U.S. Babcock Power Inc. (headquartered in Kentucky, CEO Mike LeClaire). Babcock Power Services Inc. and Riley Power Inc. are headquartered in Massachusetts, with Wade Shepherd as President. The agreement outlines a framework for IHI and BPS to collaborate on conversion projects for power generation boilers to low-carbon fuels. This initiative addresses the global challenge of decarbonizing the power sector to achieve a carbon-neutral society, with fuel ammonia being a key expected decarbonized fuel. By combining their technologies, expertise, and know-how, both companies will propose conversion solutions to customers worldwide for low-carbon fuels, including ammonia. BPS has a proven track record of successful fuel conversions for various boilers across global power plants, with cumulative converted output exceeding 17 million kW. Their proprietary technology enables power plants to utilize a wider range of fuels, leading to cost reductions, decarbonization, compliance with emission regulations, and overall performance improvements. IHI possesses technology and experience in leveraging fuel ammonia. In fiscal year 2024, IHI successfully completed a large-scale fuel ammonia conversion demonstration test (20% thermal ratio) at JERA Hekinan Thermal Power Station Unit 4. Additionally, in fiscal year 2025, IHI achieved a successful combustion demonstration at Indonesia's Labuan Thermal Power Plant by modifying another company's boiler burners to IHI's ammonia-fired burners, marking the first green ammonia combustion demonstration in ASEAN. Through the provision of these low-carbon technologies and fuel ammonia utilization models in thermal power generation, IHI aims to accelerate a sustainable energy transition and contribute to reducing global environmental impact.