Collaborative Pact Established between Masdar and INPEX for Investigating Possibilities of E-methane Generation via Green Hydrogen and CO2 in Abu Dhabi, UAE
In a significant step towards sustainable energy, Masdar, the UAE's flagship renewable energy company, and Japanese energy giant INPEX have joined forces to study the feasibility of producing synthetic methane (e-methane) using green hydrogen and captured CO2 in Abu Dhabi.
The joint study, announced in July 2023 during the JAPAN-UAE Business Forum in Abu Dhabi, is part of Masdar's ambitious target to produce 1 million tonnes of green hydrogen per annum by 2030. With a combined renewable energy capacity of over 20GW and a global investment portfolio exceeding US$30 billion, Masdar has been exploring green hydrogen since 2008.
The collaboration between the two companies aims to study the entire value chain from hydrogen production to e-methane transport. If successful, e-methane could be used as a low-carbon fuel alternative for power generation and transportation, offering a wide accessibility through existing city gas infrastructure without imposing special fuel conversion requirements on consumers.
The project aligns with Abu Dhabi's broader goals to advance sustainable energy and reduce carbon emissions by leveraging green hydrogen technologies. As Masdar is active in over 40 countries, helping them to achieve their clean energy objectives and advance sustainable development, the potential for this collaboration to make a global impact is significant.
The joint study has reportedly progressed through initial phases, including technical assessments and preliminary economic analysis. Both companies are exploring innovative methods to convert green hydrogen—produced via renewable energy-powered electrolysis—and captured CO2 into synthetic methane (e-methane).
However, no public announcement has been made yet regarding the final results or a decision to scale up production facilities. The project is still considered in the feasibility and pilot study stage, with technical and economic viability being closely evaluated before any commercial development.
INPEX, which aims to proactively engage in transforming the energy landscape towards the realization of a net-zero society by 2050, positions carbon recycling and the cultivation of new business opportunities as one of its five net zero businesses. They will evaluate the economics of operating a methanation business in Abu Dhabi with a view to export e-methane to Japan.
As of the most recent information available up to mid-2025, Masdar and INPEX have been actively collaborating on this project. For the latest updates beyond this, such as official reports or press releases from Masdar or INPEX, these may not yet be publicly disclosed or may require direct inquiry with the companies.
- Masdar and INPEX's joint study focuses on the feasibility of producing synthetic methane (e-methane) using green hydrogen and captured CO2, aligning with sustainable energy and climate-change mitigation efforts.
- Science, particularly in the field of environmental-science, is crucial for this project as it involves producing green hydrogen via renewable-energy-powered electrolysis and converting it into e-methane.
- The collaboration between the two companies is projected to generate clean energy, offering a potential low-carbon fuel alternative for power generation and transportation.
- With the goal of reducing carbon emissions, the project, part of Masdar's 2030 green hydrogen production target, taps data-and-cloud-computing and technology to analyze the entire value chain from hydrogen production to e-methane transport.
- The project's significant potential for global impact stems from Masdar's presence in over 40 countries, where it helps advance clean energy objectives and promote sustainable development.
- Finance plays a vital role in the project as INPEX focuses on evaluating the economics of operating a methanation business in Abu Dhabi with the purpose of exporting e-methane to Japan, contributing to the realization of a net-zero society by 2050.