January 16, 2001

Osaka Gas sets a new gas send-out record

On January 15, 2001, Osaka Gas set a new record in its daily gas send-out volume. With the average temperature of 1.0 degree Celsius in the Osaka region, the volume reached 29.19 million cubic meters, the largest in the company's history.

The previous record was made on January 27, 2000, with the total volume of 28.49 million cubic meters (the average temperature: 2.1 degrees Celsius). Osaka Gas has projected a maximum daily gas send-out of 29.6 million for the current winter.

November 17, 2000

Osaka Gas announces stock buyback plans

The Board of Directors of Osaka Gas has decided to repurchase some of its stocks in the market for retirement. The plan, the third of its kind following the last one in February this year, calls for the repurchase of 37 million shares or for the maximum total value of \10 billion.

October 25, 2000

Osaka Gas to start transfer of fuel processing technologies for PEFC

On November 1, 2000, Osaka Gas plans to start negotiations with manufacturers for transfer of technologies on a high-efficiency fuel processor for polymer electrolyte fuel cells (PEFC).

By using its catalytic technologies, Osaka Gas has succeeded in developing a fuel processor for converting natural gas to hydrogen for fuel cells. On a 1 kW PEFC system mounted with the fuel processor, the company has achieved an electrical efficiency of 37.5% (LHV), 7 points higher the conventional systems.

In order to accelerate R&D on residential-use PEFCs, Osaka Gas has decided to transfer its technologies to manufacturers both at home and abroad

For achieving the company's efficiency target of 43%, Osaka Gas will continue its efforts to develop residential PEFC systems. A technical presentation on the fuel processors will be made at 'Fuel Cell Seminar 2000' to be held in Portland, Oregon, from October 30.

October 3, 2000

Acquisition of NIPG shares

As part of its actions to strengthen LPG business, Osaka Gas acquired 70% of the issued shares of Nissho Iwai Petroleum Gas Group (NIPG), a subsidiary of Nissho Iwai Corporation, on September 28.

With the addition of the assets of a leading LPG importer/distributor handling 550,000 tons/year, the total LPG handled by Osaka Gas has increased to 880,000 tons per annum. It is a strategic move by Osaka Gas not only for increasing the efficiency of LPG purchase but also for expanding the scope of its energy businesses.

NIPG consists of 21 companies covering wide service areas across Japan. It annual total sales exceeds 51 billion yen with the employees of 600.

September 12, 2000

Establishment of tree planting business in Australia

Osaka Gas, jointly with Mitsui & Co., will establish a subsidiary for tree-planting business in Australia in October 2000. Osaka Gas will become the first Japanese gas utility to go into such a business in overseas locations.

The subsidiary, Eco Tree farm Pty, Ltd. to be based in Melbourne, plans to plant eucalyptus trees (Eucalyptus Globulus) in the total land area of 1,000 hectares in Western Australia during the next 30 years, 100 hectares each year for two 10-year cycles. The entire harvested trees will be sold to Nippon Paper as a raw material for paper-making.

Tree planting is seen by Osaka Gas as part of the company's commitment to environmental protection, and a possible instrument for carbon credits trading in the future.

July 25, 2000

Osaka Gas to start marketing a dioxin extraction filter

Osaka Gas, in cooperation with Miura Kogyo, has developed a filter to extract dioxins (PCDDs/PCDFs/Co-PCBs). The product, named DIOANA Filter, is the world's smallest filter to collect dioxins, and it features 1/10 extraction time as compared with conventional equipment.

Starting on August 1, 2000, Taiyo Kasei, a subsidiary of Osaka Gas, will market the filter manufactured and wholesaled by Miura. In its initial year, the marketer expects to sell a total of 5,000 units.

The filter has the following features;
- compact and easy-to-carry filter realizing easy sampling
- simultaneous capture of dioxin gas and dioxin particles
- efficient analyzing process with simplified cleaning of equipment
- improvement in accuracy of analysis

July 12, 2000

Acquisition of concessions in Australian gas fields

Osaka gas has signed an agreement with Woodside Energy and Shell Development, Australian natural gas and oil producers, for an acquisition of the10% of the concession rights in two gas fields in Australia.

The two gas fields (Greater Sunrise and Evans Shoal) have the total recoverable reserves of about 450 billion cubic meters of natural gas and 350 million barrels of condensates. According to the business plans, 17 million cubic meters (4 million tons of LNG) of natural gas per annum will be supplied to the domestic market starting in 2005. Studies will also be made on possible LNG supply from the fields.

Osaka Gas has maintained a cooperative relationship with the two companies to date, and it believes that the company's expertise in LNG transport and marketing can be combined with the exploration and production know-how of the two Australian producers for mutual benefits.

July 6, 2000

Osaka Gas to establish a planning company for power retailing

Osaka Gas, jointly with NTT Facilities Co., Ltd. and Tokyo Gas Co., Ltd., will establish shortly a planning company to retail electricity. The decision has come in response to the revision of the Power Utility Law enforced in March 21, 2000, as part of the deregulation of the power industry.

The three companies signed an agreement on March 16, following the revision of the law, and have jointly conducted studies on implementing electricity-retailing business. The preliminary evaluation on acquisition of power sources and business feasibility has led to the decision on establishment of the new company, which is to be named ENNET Corporation.

Osaka Gas believes that the formation of the new company will enable the three parent companies to put together their expertise in an efficient manner. NTT Facilities, a subsidiary of NTT, Japan's dominant telecom firm, has provided consulting and energy supplying services to the NTT group companies. The two gas companies, on the other hand, have been key suppliers of natural gas in their respective service areas.

The new company is scheduled to formulate specific business plans in the near future.

May 30, 2000

Signing of COI for Malaysia Tiga LNG Project

Osaka Gas, together with Tokyo Gas and Toho Gas, signed a confirmation of intent (COI) with Malaysia Tiga for import of LNG from Malaysia.

In the new LNG project, the third from Malaysia, it is planned to export the total of 7.6 million tons of LNG to Asian markets. Of this volume, the three companies plan to purchase the total of 1.6 million tons/year (including an optional arrangement of 600,000 tons to be determined prior to the signing of the official contract) starting 2004 for the period of 20 years. The delivery of cargoes will be on Ex-Ship basis.