JAPEX Invests in Japan Methane Hydrate Operating Company

Japan Petroleum Exploration Co (JAPEX) has invested in Japan Methane Hydrate Operating Co, a joint venture company established on October 1, 2014 aiming to participate in the medium to long-term offshore production test of methane hydrate conducted by the Japanese government, the company said in a statement earlier this week.

“JAPEX is committed to utilizing the technology, knowledge and experience it has accumulated through exploration and production of oil and natural gas operations to contribute for research and future commercialization on Japan’s methane hydrate resources as a pioneer,” the company said.   

A substantial quantity of methane hydrate is estimated in the offshore areas around Japan.

According to JAPEX, this could be a new domestic energy source, with the potential to make a major contribution to a stable national energy supply for Japan.

At the end of the fiscal year 2012, the Japanese government carried out the first offshore production test and succeeded in the world’s first production of gas from methane hydrate under the seabed.

Japan Methane Hydrate Operating Co (JMH) has been formed with agreement and capital participation of 11 companies engaging in oil and natural gas development and in plant engineering. The company aims to provide contract services efficiently, effectively and smoothly on field operations in the offshore production test of pore-filling type methane hydrate in 'all-Japan' structure, and to share its findings among private-sector in Japan. Optimizing this structure, participating companies will proactively offer their technologies and knowledge to the Japan’s research and development of pore-filling type methane hydrate toward its commercialization.