TotalEnergies, TES, Alliance with Japanese Firms to Initiate “Green” Gas Output in Nebraska by 2030
Major global corporations are launching an ambitious initiative in the United States, named Live Oak, aimed at creating environmentally friendly fuel. The French energy giant TotalEnergies, in collaboration with Tree Energy Solutions (TES) and three Japanese corporations—Osaka Gas, Toho Gas, and Itochu—will undertake the production of synthetic methane, according to reports from Reuters.
The manufacturing facility will be situated in the state of Nebraska. The distinctive feature of the Live Oak project is that the gas production will rely not on fossil resources, but rather on biogenic carbon dioxide sourced from regional bioethanol plants, coupled with energy derived from renewable sources. Essentially, this process involves recycling CO2 captured from industrial emissions instead of releasing it into the atmosphere.
The Japanese utility providers, Osaka Gas and Toho Gas, are slated to be the primary purchasers of the synthetic methane. This move aligns with their strategic objective of progressively decarbonizing their gas networks: they aim to substitute 1% of conventional gas with its synthetic counterpart by the year 2030 to curb their overall carbon footprint.
Although the combustion of this gas, much like standard natural gas, releases CO2, its overall climatic impact is considered to be lower. This positive differential stems from the closed-loop system: the carbon utilized for production is initially captured from existing industrial exhaust streams, rather than being extracted from subterranean reserves.
Equity stakes in the venture will be divided almost equally: TotalEnergies and TES will each hold 33.35%, while the consortium of Japanese companies will possess a 33.3% share. Final approval for full-scale investment commitments is anticipated by 2027, with the target for commencing production set for 2030.
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