Osaka Gas partners with Santos, others for e-methane production in Australia

Japan’s Osaka Gas announced on August 21 that it had entered into an agreement with Santos, Tokyo Gas, and Toho Gas to conduct pre-front end engineering and design (pre-FEED) work for e-methane production in Moomba, located in Australia’s Cooper Basin.

Under the agreement, Osaka Gas Australia, a local unit of Osaka Gas, and its partners will undertake technical, regulatory, and commercial studies to produce 130,000 tonnes/year or more of e-methane at Moomba, an area where Santos has been developing and operating natural gas fields for many years. The studies will also explore the possibility of exporting this e-methane to Japan. The partners aim to commence e-methane production and export by 2030 at the earliest.

For this pre-FEED initiative, Osaka Gas has secured a subsidy from Japan’s Ministry of Economy, Trade, and Industry.

Osaka Gas has set a goal to achieve carbon neutrality across its corporate group (Daigas Group) by 2050, contributing to net zero emissions in Japan and other Asian countries. These goals are outlined in the Carbon Neutral Vision released in January 2021 and Energy Transition 2030 released in March 2023.

To realise this ambition, the company is pursuing net zero solutions, including e-methane, and is advancing e-methane technology development through R&D activities and demonstration projects in Japan to promote its widespread usage.