Tokyo Gas teams up with Santos for Australia green methane study

Japanese utility to look at practicality of producing synthetic gas to sell at home

20231121 Tokyo Gas Cooper Basin in Australia

Tokyo Gas and Santos are focusing on the Cooper Basin area of Queensland as they explore the feasibility of producing a type of methane that promises carbon neutrality. (Photo courtesy of Tokyo Gas)

Nikkei staff writers

November 21, 2023 19:18 JST

TOKYO -- Tokyo Gas has teamed up with Australian energy company Santos to come up with a plan to produce carbon-neutral synthetic methane, or e-methane, in Australia, then export it to Japan, the utility said on Tuesday.

The Japanese company and an investment arm of Santos have signed a memorandum of understanding to study the project's feasibility. If practical, the intention is to establish a new production plant at the Cooper Basin, in the Pacific nation's mid-eastern region.