TES and Toho Gas sign Agreement for close collaboration for the value chain of e-NG

Press Release
December 4, 2023
Reading time: 2 min
TES, a global green energy company leading the way in the production of e-NG (electric natural gas derived from green hydrogen, widely referred to as e-methane in Japan), and Toho Gas Co., Ltd. (“Toho Gas”, President: Nobuyuki Masuda), are pleased to announce that both companies have signed a comprehensive agreement to explore the development of an e-NG supply chain in order to support Japan’s decarbonization goals.
e-NG is synthetic methane produced from non-fossil fuel energy sources such as green hydrogen. Because it can utilize existing city gas infrastructure and consumer appliances, it is expected to be a fuel that will help smooth the transition to carbon neutrality and reduce additional social costs in Japan. Several e-NG production plants have already been approved in Europe and the United States, and they are attracting increasing attention as a promising option toward achieving carbon neutrality.
As part of this collaboration, both companies will work together to raise awareness of e-NG and design systems such as CO₂ counting rules and financial support as well as the early implementation of e-NG in society, with the aim of achieving carbon neutrality.
Marco Alverá, CEO of TES, commented: “We are proud to partner with Toho Gas, a company who shares our ambition of accelerating the energy transition and recognises e-NG as a tool for achieving this goal. Current climate targets can only be met with equally ambitious new energy projects, and close collaboration is essential to develop the necessary regulatory framework to facilitate this. We are delighted to work alongside Toho Gas to deliver green, affordable energy across all industries.”
Takeo Haigou, Managing Executive Officer of Toho Gas, commented: “Toho Gas understands that TES is a leading company for creating the international supply chains and global implementation of e-methane, and we are very encouraged to collaborate with TES as a partner. Toho Gas has set a goal for carbon neutral including our customer's site by 2050. To achieve this goal, we believe that e-methane will play a key role, and aim to supply e-methane more than 1% of our city gas sales volume by 2030. Toho Gas will accelerate these plans through the collaboration with TES.”

About Toho Gas

Toho Gas Co., Ltd. is a Japanese company incorporated in June 1922 and is headquartered in Nagoya, Japan. The company announced its “2050 Carbon Neutrality Initiative” in July 2021 to promote actions towards achieving carbon neutrality.In particular, it focuses on climate neutral e-NG as its main pillar in its effort to decarbonize city gas with the aim to introduce at least 1% of e-NG in its city gas sales.

About TES

TES is a global green energy company developing giga-scale projects to accelerate the transition to net-zero.
In Europe, TES’ projects strengthen energy security and the diversification of energy imports, as well as support the European Union’s decarbonisation efforts. In Wilhelmshaven, Germany, TES is developing a green energy terminal, that will serve as a major hub for sustainable molecules. The already operating floating storage and regasification unit (FSRU) will be followed by a large-scale onshore LNG terminal and a CO₂ export terminal. Globally, TES leverages renewable energy solar, wind, and hydro, along with climate-neutral CO₂ for the production of e-NG (electric natural gas), a drop-in synthetic gas made from green hydrogen and captured CO₂. Large-scale e-NG projects are underway in the US (Live Oak), Canada (Project Maurice), and across Europe, and the Middle East. These green molecules support the shift to real zero emissions across industries and help win the race against climate change.