Ricky Sakai, Senior Vice President of Investment & Business Development, Mitsubishi Heavy Industries America

In an interview with Invest:, Ricky Sakai, senior vice president of investment and business development for Mitsubishi Heavy Industries America (MHIA), underscored Houston’s role as a central hub for the energy transition, citing robust industry-academic collaboration. He also pointed to rising demand from AI and data centers for reliable, low-carbon power solutions. “Tech companies and hyperscalers are looking for power that is reliable, affordable, and low-carbon. That’s where we come in,” Sakai said.

What makes Houston ideal for MHIA’s business and energy transition focus?

We relocated our headquarters to Houston almost 10 years ago, and since then, we’ve been growing our business in the energy sector. We’ve also shifted our focus from conventional energy to the energy transition, aiming to lower carbon intensity across the industries we serve. Houston has become a hub for energy transition, thanks to its strong presence of academia, major industry players, and collaborative initiatives.

Recently, we relocated our headquarters within the city and were honored by Mayor John Whitmire, who proclaimed April 14, 2025, as Mitsubishi Heavy Industries America Day. That was a significant recognition for us.

We continue to invest in innovation, particularly technologies being incubated here in Houston. Last year, we invested in Fervo Energy, a leading startup focused on enhanced geothermal power systems. We’re collaborating with them by supplying power generation equipment for their demonstration project.

We’re also working closely with major energy companies like ExxonMobil and Chevron on low-carbon solutions, including carbon capture and hydrogen projects. These collaborations reflect our commitment to building a robust energy ecosystem in Houston.

What are the key trends driving the energy transition from MHIA’s perspective?

Over the past year, we’ve seen a surge in demand for AI and data centers, especially in relation to power generation. Tech companies and hyperscalers are looking for power that is reliable, affordable, and low-carbon. That’s where we come in, offering solutions like gas turbine combined cycle power with carbon capture, and geothermal power systems.

We also provide technologies to improve data center efficiency, such as advanced cooling systems. These offerings position us well to support the growing needs of AI and data centers, which are some of the hottest areas we’re currently addressing.

How are your partnerships with ExxonMobil and Chevron progressing, particularly on carbon capture and hydrogen?

Carbon capture is a technology we’ve been developing for decades. There’s a growing number of industrial emitters looking to reduce their emissions.

We’re collaborating with ExxonMobil, which has established a Low Carbon Solutions business unit and acquired a CO₂ pipeline from Denbury. Our carbon capture technology, combined with their infrastructure, allows us to offer a one-stop solution — from capture and transport to sequestration. Their scientific team is also helping us improve the efficiency of our technology.

With Chevron, we’re building our first utility-scale green hydrogen project in Utah. This project uses surplus renewable power, mainly from California, to produce up to 100 tons of green hydrogen per day. The hydrogen is stored in underground salt caverns and can be used to generate clean power using our hydrogen gas turbines. The project is under construction and is expected to begin operations by the end of this year. Chevron will help operate the facility once it goes live.

What recent collaborations or joint ventures are helping MHIA push the boundaries of industrial innovation?

Energy transition is a complex challenge, given the deeply entrenched hydrocarbon infrastructure. Collaboration is essential.

Beyond our partnerships with ExxonMobil and Chevron, we also work with startups that bring innovative solutions in geothermal, hydrogen, ammonia, and e-fuels. One example is our partnership with Infinium, a company that converts CO₂ and hydrogen into sustainable aviation fuel. This helps expand our carbon capture business by turning captured CO₂ into valuable products, supporting decarbonization across the aviation and transport sectors.

How is MHIA helping address the talent pipeline and skills gap in the energy transition?

Talent development is key. Many startups emerge from university spinouts, so we’ve been active in academic collaborations. In Houston, we work with Greentown Labs, an innovation accelerator, and we sponsor the Texas Entrepreneurship Exchange for Energy (TEX-E), which includes major Texas universities. This program supports startups with mentorship and research collaboration, helping foster the next generation of clean tech.

We also fund joint research programs with universities such as Rice University, bringing in our R&D teams to support early-stage innovations and help scale new technologies. These academic partnerships are critical for long-term success in the energy transition.

What are the most pressing challenges MHIA faces today?

One major challenge is equipment shortages, particularly gas turbines and other power generation components. Our production backlog is fully booked for the next five years.

We also face workforce shortages, which limit our ability to quickly scale manufacturing. Training takes time, and while we operate in the United States and Japan and exchange know-how across sites, we still need more skilled labor to meet demand.

Another challenge is policy uncertainty. Changes in government incentives and regulations, especially related to tax credits, create unpredictability. Continued government support is crucial to closing the cost gap between conventional and low-carbon energy solutions.

How are you integrating AI and emerging technologies into MHIA’s operations?

We’re exploring how AI can enhance our business internally and externally. We’ve already implemented AI and machine learning in maintenance and after-sales services for our machinery.

We’re now expanding AI applications to improve operations and potentially develop new business models. However, powering these AI technologies remains a major challenge, reinforcing the importance of providing reliable and low-carbon electricity for data centers.

What is your outlook for MHIA in Houston, and what are your top priorities over the next few years?

Our top priority is to lead in the energy transition by offering innovative solutions and strengthening collaborations. Houston will continue to be a central hub for us.

We aim to stay agile and responsive to new industry trends and customer needs. Being close to our partners, customers, and academia allows us to move quickly and adapt as the energy landscape evolves.