Four firms to work on e-methane supply chain from UAE to Japan

Japan’s city gas suppliers and LNG importers Tokyo Gas and Osaka Gas have joined forces with compatriot Inpex and UAE’s Masdar to work on establishing an e-methane supply chain from the UAE to Japan.

In that regard, the four firms have have signed a collaboration agreement to conduct a joint feasibility study on e-methane production in Abu Dhabi in the UAE, according to a joint statement.

Masdar and Ichthys LNG operator Inpex have been conducting a joint study to produce e-methane utilizing renewable energy in Abu Dhabi based on an agreement signed in July 2023.

E-methane is synthetic methane produced from carbon dioxide (CO2) and green hydrogen.

Tokyo Gas and Osaka Gas have newly joined this initiative, and through it plan to offtake e-methane in volumes equivalent to 1 percent of each company’s annual city gas demand.

The two firms are aiming to introduce e-methane to cover 1 percent of their respective annual city gas demand by 2030 and further increase the introduction volume from the total of their worldwide projects toward 2050, the statement said.

The four partners will evaluate the economics of producing and procuring feedstocks, such as green hydrogen and CO2, as well as the production and transportation of e-methane.

E-methane is compatible with existing LNG infrastructure such as LNG tankers and terminals as well as city gas infrastructure including pipelines and consumer gas equipment, the partners noted.

Masdar, INPEX, Tokyo Gas and Osaka Gas aim for the early establishment of an e-methane supply chain from the UAE to Japan to “contribute to the UAE and Japanese governments’ shared goal of achieving carbon neutrality by 2050,” they said.

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