Two major Japanese corporations, Mitsubishi Heavy Industries (MHI) and Osaska Gas Co Ltd, recently signed an agreement to develop a CO2 value chain for carbon capture, utilisation, and storage (CCUS).

The proposed project includes transporting the captured CO2 overseas, where it will be used to produce e-methane, a synthetic methane that is a so-called electrofuel. Using a process of methanation, e-methane is made from two raw materials—hydrogen and CO2.

The goal of the collaboration is to produce an efficient CO2 value chain.

The joint project will leverage Osaka Gas’s know-how on e-methane production and CO2 storage, and MHI’s expertise in CO2 capture, liquified maritime vessel transport, and CO2 management.