TotalEnergies, TES and Japanese Firms Partner for Carbon-Neutral Gas Project in Nebraska

• Five companies have formed a consortium for the Live Oak e-NG project in Nebraska, with TotalEnergies and TES each holding 33.35% and three Japanese firms collectively holding 33.3%.
• The facility will produce synthetic methane (e-NG) using renewable hydrogen and biogenic CO2 captured from bioethanol plants.
• The project targets an electrolyzer capacity of 250 MW to produce 75,000 tons of e-NG annually, pending a final investment decision in 2027 and start of operations in 2030.
• The e-NG will be exported to Japan, primarily for Osaka Gas and Toho Gas, supporting their goal of using 1% carbon-neutral gas by 2030.
• The project leverages a 2023 partnership between TotalEnergies and TES and utilizes Nebraska's biogenic CO2 and renewable power resources.
• The involvement of Japanese firms underscores their decarbonization commitment and positions Live Oak as a key future carbon-neutral gas source for Japan.
• e-NG is chemically identical to conventional natural gas and can be used in existing global LNG infrastructure without modification.

A consortium of five companies has finalized a Joint Development and Operating Agreement for the Live Oak e-NG project in Nebraska, USA. TotalEnergies and tree energy solutions (TES), the project's original developers, will each retain a 33.35% ownership stake. Three Japanese firms, Osaka Gas, Toho Gas, and ITOCHU, have collectively acquired a 33.3% share in the venture.

The project is a large-scale facility designed to produce electric natural gas, or e-NG, a synthetic methane. It will combine renewable hydrogen from electrolysis with biogenic carbon dioxide captured from local bioethanol plants. The partners are advancing plans for a Front-End Engineering Design phase, aiming for an electrolyzer capacity of about 250 megawatts and an annual production target of 75,000 tons of e-NG.

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Pending a positive Final Investment Decision in 2027, commercial operations are targeted for 2030. The resulting e-NG is intended for export to Japan, with Osaka Gas and Toho Gas set to be the primary buyers. This supply is a key part of the Japanese gas companies' strategy to introduce 1% carbon neutral gas into their distribution networks by 2030.

The initiative expands upon a strategic partnership formed between TotalEnergies and TES in 2023. It will utilize Nebraska's resources of biogenic carbon and the region's expanding renewable electricity generation. The involvement of the Japanese companies highlights their focus on decarbonization and establishes the Live Oak project as a leading source of carbon-neutral gas for Japan.

Because e-NG is chemically identical to conventional natural gas, it can be transported and used within existing global LNG infrastructure and end-user equipment without requiring modifications.