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Japan’s Toho Gas to buy US LNG

LNG Industry,

Japanese company, Toho Gas, has signed a 20-year contract to purchase approximately 300 000 tpa of US Cameron liquefied natural gas (LNG). Toho Gas will purchase the gas from trader Mitsui & Co, when the project commences production.

Japan’s LNG imports have increased following the Fukushima nuclear disaster in 2011, and utilities are looking to boost supplies from North America to diversify supply sources and lower electricity prices.

Sempra Energy, which is developing the Cameron LNG project, is waiting on permits for construction and for permission to export LNG to non-FTA (Free Trade Agreement) countries including Japan.

Sempra hopes to make a final investment decision to build the Cameron plant by the end of 2014 and begin operations by 2020, pending approvals.

Edited from various sources by Katie Woodward

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