Japan’s biggest power generator JERA has signed a liquefied natural gas sales and purchase agreement with Hokkaido Gas 9534 to supply two-to-three LNG cargoes a year for seven years from 2027, it said on Thursday.

Under the agreement, JERA will supply about 130,000 to 200,000 metric tons of LNG annually, on a delivered ex-ship basis from its global LNG portfolio.

The deal will strengthen Japan’s energy security, while diversifying JERA’s LNG sales portfolio and enhancing stability and flexibility in the domestic market, it said.

Earlier this month, JERA, one of the world’s biggest LNG buyers, signed its first long-term LNG export deal with India’s Torrent Power TORNTPOWER, agreeing to deliver four cargoes a year for 10 years from 2027.

Looking ahead, JERA said it will continue to build a balanced LNG portfolio across Asia, the Middle East, and the United States to increase its resilience against market volatility. It also said it would pursue cost competitiveness and deepen collaborations with domestic partners, while expanding LNG sales across Asian markets.

JERA, a joint venture between Tokyo Electric Power 9501 and Chubu Electric Power 9502, is also a major LNG trader, handling a total of 30 million tons to 35 million tons of LNG annually both for domestic use and to re-sell elsewhere.
Source: Reuters