Japanese gas company Osaka Gas will collaborate with Singapore energy companies City Energy and City-OG Gas Energy Services to explore feasibility of a methanation project in Singapore.

Methanation plants are used to produce synthetic methane through the conversion of carbon dioxide (CO2) and hydrogen, a carbon neutral process providing the CO2 and green hydrogen used is produced from electrolysis powered by renewable electricity. 

Aside from mitigating CO2 emissions, an advantage of synthetic methane use is that existing infrastructure does not need to be modified, further reducing costs and emissions. 

In line with the Daigas Group Carbon Neutral Vision (CNV) announced in January 2021, the study aims to explore business models and an economic evaluation over a 6-month period. 

According to the joint study overview, during the study period the partners will assess suitable locations and technologies for the pilot plant and also explore the potential for transportation of CO2 and hydrogen. 

The venture is part of Osaka Gas’ carbon neutral goals alongside other methanation projects such as the methanation technical development with INPEX in Nagaoka city, Niigata prefecture.