Osaka Gas and MHI to Study CO2 Value Chain Development
Osaka Gas and Mitsubishi Heavy Industries (MHI) have entered into an agreement to conduct a feasibility study on developing a CO2 value chain for Carbon Capture, Utilization, and Storage (CCUS).
Tokyo – Osaka Gas Co., Ltd. and Mitsubishi Heavy Industries, Ltd. (MHI) will collaborate on developing a value chain for carbon dioxide (CO2). The agreement focuses on a feasibility study for capturing CO2 generated in Japan, transporting it overseas, utilizing it for e-methane production, and storing the remainder underground.
The project aims to establish an efficient CCUS value chain by leveraging Osaka Gas's expertise in e-methane production and CO2 storage, alongside MHI's capabilities in CO2 capture, liquefied CO2 maritime transport, and CO2 management. The study will examine methods for capturing emissions from hard-to-abate industries, such as steel, cement, and chemicals, and their transport via ships.
The initiative also plans to expand its CCUS scheme through the trade and transfer of environmental value, visualized via the CO2NNEX digital platform MHI is developing with IBM Japan. The goal is to contribute to a carbon-neutral society by 2050 by combining the technologies of both companies.
E-methane is synthesized from hydrogen and CO2 through methanation. Its use does not result in a net increase of CO2 in society as it is captured and recycled. E-methane is considered an economically efficient path to carbon neutrality, as it can be distributed through existing gas infrastructure and used in current appliances.