United States – Tree Energy Solutions (TES) and TotalEnergies have joined forces to study and develop a significant production unit in the United States for e-natural gas (e-NG), a synthetic gas produced from renewable hydrogen and CO2.
This collaboration aims to establish a project capable of producing 100,000 to 200,000 metric tons of e-NG annually. The partnership combines TES’s expertise in e-NG gas with TotalEnergies’ experience in renewable power generation, project management, and natural gas liquefaction.
e-NG production
The production of e-NG involves two main steps. Firstly, a 1-gigawatt electrolyzer powered by approximately 2 gigawatts of wind and solar energy supplied by TotalEnergies through long-term power purchase agreements (PPAs) will be used to produce renewable hydrogen. Then, this renewable hydrogen will be combined with biogenic CO2 to obtain e-NG. The resulting e-NG can be transported, liquefied, and sold like natural gas, utilizing existing infrastructure, without requiring any modifications to end customers’ facilities.
TotalEnergies and TES will conduct preliminary studies and aim to reach a Final Investment Decision (FID) in 2024. The project is expected to benefit from tax credits under the 2022 Inflation Reduction Act (IRA).
The synthetic fuel derived from e-NG will enable customers to decarbonize their activities, particularly those that are challenging to electrify. The advantages of e-NG include its compatibility with existing infrastructure and the avoidance of changes to current industrial processes. The United States is well-positioned for the development of the first e-NG project due to its robust gas infrastructure, growing renewable power generation capacity, and substantial public subsidies.
