IHI to Conduct Proof-of-Concept Tests at Thai Petrochemicals Plant for Sustainable Lower Olefin Synthesis Technology from CO₂ as Feedstock

-To tap CO₂ from petroleum product manufacturing process to make resin materials-

IHI Corporation announced today that it has concluded an agreement with the Siam Cement Group Public Company Ltd. to conduct proof-of-concept tests at a petrochemicals plant in Thailand of SCG Chemicals Public Company Ltd., the latter’s local manufacturing subsidiary. The PoC tests will be conducted as a part of the Development of Technologies for Carbon Recycling and Next-Generation Thermal Power Generation funded by Japan’s New Energy and Industrial Technology Development Organization. The concept of the technology is known as CO₂ recycling to chemicals i.e., lower olefins (see note 1) from CO₂ as a feedstock. 

IHI plan to extract CO₂ from exhaust gases emitted from naphtha crackers (see note 2) in service at the SCG Chemicals plant, and convert CO₂ to lower olefins by using the catalysts IHI developed at 100 kg-CO₂/day scale.

The project encompasses the development and testing (1) and (2) for a value chain leveraging existing facilities

IHI will compare the physical and chemical properties of lower olefins from the testing with the ones produced from fossil resources and assess their compatibility. It will draw on its evaluation to explore conditions for olefin synthesis and integration materials at existing plants. IHI looks to install CO₂ capture and olefin synthesis facilities at the SCG Chemicals plant in 2024, conducting proof-of-concept tests through March 2026.

IHI has endeavoured to establish lower olefin synthesis technology by drawing on efforts to develop high-performance catalysts stemming from IHI’s original carbon recycling technology and by leveraging petrochemical reactor development and design technology.

On completing technological development, IHI and SCG Chemicals will confirm business feasibility by collaborating to commercialize the lower olefin synthesis process and contribute to carbon neutrality in the chemical industry.


  1. Lower olefins is a generic term for ethylene, propylene, and other products that are raw materials for many key basic chemicals. They are used in manufacturing resin and plastics such as packaging materials, and plastic bottles, and other daily essentials.
  2. A naphtha cracker manufactures petrochemical feedstocks such as lower olefins and fuels such as gasoline by heating naphtha distilled from crude oil.

Related news release

Japan’s New Energy and Industrial Technology Development Organization Commissions IHI to Recycle CO₂ and Develop Olefin Manufacturing Technology -Company to recycle carbon as raw material for plastics and resins-


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