Abstract <p>Methane, a potent greenhouse gas, poses a significant risk when released into the environment. In this work, a Pd/SiO₂@CeO₂ catalyst was developed and evaluated for its methane oxidation performance under oxygen-rich environments. The 2.5 wt % Pd/SiO₂@CeO₂ achieved 10, 50, and 90% CH₄ conversion at 225°C (<i>T</i>₁₀), 257°C (<i>T</i>₅₀), and 275°C (<i>T</i>₉₀). The 2.5 wt % Pd/CeO₂ was used as the reference catalyst that attained CH₄ conversion of 50 and 90% at comparatively higher temperatures of 300 and 350°C under identical reaction conditions. Decreasing the Pd loading in Pd/SiO₂@CeO₂ to 1 wt % increased the <i>T</i>₁₀, <i>T</i>₅₀, and <i>T</i>₉₀ to 257, 300, and 350°C, respectively. Furthermore, in a steady-state experiment of 10 h at 350°C, 2.5 wt % Pd/SiO₂@CeO₂ exhibited excellent durability, sustaining a ≥95% CH₄ conversion without noticeable deactivation. In addition, variation in O₂ (0.5–8%) and CH₄ (0.11–0.5%) concentrations, and gas hourly space velocity (GHSV) between 48 000–58 000 mL g^–1 h^–1 did not affect the methane oxidation performance of 2.5&#xa0;wt % Pd/SiO₂@CeO₂ at 350°C. Moreover, the 2.5 wt % Pd/SiO₂@CeO₂ catalyst was thermally aged at 700°C for 3 h and still exhibited 90% methane conversion at 350°C. In contrast, the methane conversions of thermally aged 2.5 wt % Pd/CeO₂ catalyst decreased significantly to 46%. Field emission scanning electron microscopy (FESEM) results showed that the developed Pd/SiO₂@CeO₂ catalyst possessed the core-shell structure with Pd and CeO₂ coated on uniform SiO₂ nanospheres (~500 nm). The methane oxidation performance of the developed Pd/SiO₂@CeO₂, when benchmarked against reported similar Pd-based catalysts, displays superior activity under comparable reaction conditions. Overall, the findings highlight the strong potential of Pd/SiO₂@CeO₂ for mitigating methane emissions.</p>