New Joint Agreement Strengthens TotalEnergies–TES Partnership and Positions Live Oak as a Key Source of Carbon-Neutral Gas for Japan

New Joint Agreement Strengthens TotalEnergies–TES Partnership and Positions Live Oak as a Key Source of Carbon-Neutral Gas for Japan

(IN BRIEF) TotalEnergies, TES, Osaka Gas, Toho Gas, and ITOCHU have entered a Joint Development and Operating Agreement for the Live Oak e-NG project in Nebraska, giving the Japanese partners a collective 33.3% stake. TotalEnergies and TES each retain 33.35%. The partners will now begin FEED work for a facility planned to include about 250 MW of electrolysis and 75 ktpa of methanation capacity. A Final Investment Decision is expected in 2027, with commercial operations starting in 2030 and exports of electric natural gas to Japan. Osaka Gas and Toho Gas will be the main offtakers, supporting Japan’s target of injecting 1% carbon-neutral gas into its grid by 2030. The project will use Nebraska’s biogenic CO₂ and growing renewable power capacity, building on the 2023 partnership between TotalEnergies and TES to expand e-NG production. Because e-NG is chemically identical to natural gas, it fits seamlessly into existing LNG infrastructure.

(PRESS RELEASE) PARIS, 2-Dec-2025 — /EuropaWire/ — TotalEnergies and TES have taken a major step forward in the development of the Live Oak e-NG project in Nebraska, signing a Joint Development and Operating Agreement with Japanese partners Osaka Gas, Toho Gas, and ITOCHU. The agreement grants the three Japanese companies a combined 33.3% ownership stake, while TotalEnergies and TES will each retain 33.35% of the project.

The newly formed partnership will now move into the Front-End Engineering Design (FEED) stage, preparing detailed technical plans for a facility designed around 250 MW of electrolysis capacity and 75,000 tonnes per year of methanation output. The project is expected to reach a Final Investment Decision (FID) in 2027, with commercial operation targeted for 2030. Once operational, Live Oak will supply electric natural gas (e-NG) to Japan, where Osaka Gas and Toho Gas will serve as the principal offtakers. The project will support Japan’s goal of introducing 1% carbon-neutral gas into the national gas grid by 2030.

Live Oak builds upon the strategic alliance forged in 2023 between TotalEnergies and TES, aimed at scaling e-NG production globally. The Nebraska site is positioned to take advantage of the US Midwest’s strong renewable electricity expansion and the region’s significant supplies of biogenic CO₂, particularly from nearby bioethanol plants. This combination creates ideal conditions for cost-competitive, large-scale e-NG production.

The involvement of Osaka Gas, Toho Gas, and ITOCHU — who is coordinating the Japanese consortium — demonstrates the growing role of e-NG in Japan’s long-term decarbonization pathway. Their participation underscores a shared commitment to accelerating carbon-neutral gas technologies that can integrate smoothly into existing natural gas infrastructure.

e-NG, also known as e-methane, is created by synthesizing renewable hydrogen with captured CO₂. Because it is chemically identical to conventional natural gas, e-NG can be transported, stored, liquefied, and used with existing LNG infrastructure and consumer equipment without modification. This compatibility positions Live Oak as a landmark project for advancing low-carbon gas solutions at industrial scale.

About TotalEnergies

TotalEnergies is a global integrated energy company that produces and markets energies: oil and biofuels, natural gas, biogas and low-carbon hydrogen, renewables and electricity. Our more than 100,000 employees are committed to provide as many people as possible with energy that is more reliable, more affordable and more sustainable. Active in about 120 countries, TotalEnergies places sustainability at the heart of its strategy, its projects and its operations.

About TES

TES is a global green energy company developing giga-scale projects to accelerate the energy transition. 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 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). Large-scale e-NG projects are underway in the US (Live Oak), Canada (Project Mauricie), 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.

About Osaka Gas

The Daigas Group is dedicated to realizing a carbon-neutral future through its Carbon Neutral Vision and Energy Transition 2050 initiative. As part of this effort, the Group aims to integrate 1% e-methane into its gas grid by 2030, paving the way for broader adoption across society. To achieve this goal, the Group is actively advancing e-methane technologies, conducting demonstration projects, and building supply chains both in Japan and overseas—driving progress toward carbon neutrality by 2050.

About Toho Gas

Toho Gas aims to make its entire supply chain including its customers’ sites carbon neutral by 2050. To this end, Toho Gas is currently accelerating initiatives that contribute to the low-carbon transition and further decarbonization of its customers. Toho Gas will devote itself to realizing a decarbonized society and further development of Chubu region by securing and providing diverse and optimal decarbonized energy sources, including e-methane and biogas.

About ITOCHU

ITOCHU is involved in domestic trading, import/export, and overseas trading of various products, as well as business investment in Japan and overseas.
ITOCHU, with the group’s corporate mission “Sampo-yoshi” (good for the seller, good for the buyer and good for society), is pursuing a policy of enhancing its contribution to and engagement with the SDGs through business activities, including promoting e-NG, as a member of the e-NG Coalition.

TES Contacts

Osaka Gas Contacts

Toho Gas Contacts

ITOCHU Contacts

TotalEnergies Contacts

TotalEnergies on social media

Cautionary Note
The terms “TotalEnergies”, “TotalEnergies company” or “Company” in this document are used to designate TotalEnergies SE and the consolidated entities that are directly or indirectly controlled by TotalEnergies SE. Likewise, the words “we”, “us” and “our” may also be used to refer to these entities or to their employees. The entities in which TotalEnergies SE directly or indirectly owns a shareholding are separate legal entities. TotalEnergies SE has no liability for the acts or omissions of these entities. This document may contain forward-looking information and statements that are based on a number of economic data and assumptions made in a given economic, competitive and regulatory environment. They may prove to be inaccurate in the future and are subject to a number of risk factors. Neither TotalEnergies SE nor any of its subsidiaries assumes any obligation to update publicly any forward-looking information or statement, objectives or trends contained in this document whether as a result of new information, future events or otherwise. Information concerning risk factors, that may affect TotalEnergies’ financial results or activities is provided in the most recent Registration Document, the French-language version of which is filed by TotalEnergies SE with the French securities regulator Autorité des Marchés Financiers (AMF), and in the Form 20-F filed with the United States Securities and Exchange Commission (SEC).

SOURCE: TotalEnergies

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