MHI has developed a biomass gasification methanol synthesis (BGMS) system, which converts biomass resources into liquid fuels such as methanol or dimethyl ether (DME).
In the final phase before commercialization, a 2 ton/day BGMS test project subsidized by the New Energy and Industrial Technology Development Organization (NEDO) was started in 2001.

The 2 ton/day test plant consisted of a biomass pulverizer, a gasifier, gas clean up and a methanol synthesis unit. A test of six kinds of wooden biomass, including four kinds of waste biomass, showed that it was possible to convert more than 65% of the heat value of input biomass to syngas energy.
It is expected that for a commercial scale plant with heat loss restricted to less than 1%, the energy conversion ratio and methanol synthesis yield will be able to be increased to more than 75% and 40wt%, respectively.
Synthesized methanol is a renewable liquid energy, which can be stored and utilized as fuel for engines, turbine and fuel cells, or as a chemical source.