Tree Energy Solutions, a global green energy company, and Advantage Partners, Inc., a private equity fund in Japan, are in discussions to explore potential investment by investment funds serviced by AP Group along the full value chain to support the development of TES’ e-NG (electric natural gas) projects.
The collaboration envisages potential future capital investment by AP Funds into TES e-NG projects, including TES’ Green Energy Hub in Wilhelmshaven, Germany, according to a news release. Additionally, the partnership will advocate for increased awareness and investment in e-NG among AP Funds’ investor base, positioning e-NG and its related infrastructure, such as electrolysers, as critical components of the energy transition.
e-NG, also known as synthetic methane, represents a renewable molecule that is easy to transport and store using existing natural gas infrastructure allowing scalable and cost-effective solutions for heavy industries looking to reduce their carbon footprint. Particularly, the production, transportation and use of e-NG relies on well-proven, commercially available technology, which has been optimised over many years.
AP Group, with over 30 years of private equity experience and more than 5 billion US dollars or 750 billion JPY invested, launched its Renewables and Sustainability investment division in 2021 to focus on investments that contribute to the achievement of the UN Sustainable Development Goals (SDG) and support the energy transition. AP Group, in collaboration with other partners including the Japan Hydrogen Association, operates the Japan Hydrogen Fund, a global initiative aimed at investing in hydrogen-related assets and companies, which aligns with Japan’s long-term vision for carbon neutrality.
“By partnering with AP, we aim to mobilise fresh capital to support the scaling of e-NG production and infrastructure,” said Marco Alverá, CEO and Co-Founder of TES. “Japan has taken a leadership role in recognising how clear public targets, such as gas blending mandates, combined with fresh capital, can accelerate the path to decarbonisation. This collaboration highlights the growing momentum behind green gases like e-NG as an immediate solution for reducing carbon emissions across industries.”
Richard Folsom, Co-Founder and Representative Partner of AP Group, said “AP supported the first closing of the Japan Hydrogen Fund and started its investment activities. e-NG is definitely a synthetic form of clean energy which can be utilized in the hydrogen value chain into Japan. The collaboration with TES opens the window for us to find the potential e-NG projects as well as other projects along its supply chain. We are happy to be in the position to collaborate with TES and contribute to the global decarbonization.”
