Japan’s JERA Agrees Long-Term LNG Supply from Middle East

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© vladsv / Adobe Stock
© vladsv / Adobe Stock

Japan’s largest power generation company JERA has signed a long-term liquefied natural gas (LNG) sale and purchase agreement with QatarEnergy to secure the supply of 3.0 million tonnes per annum (MTPA) for 27 years, with deliveries expected to commence in 2028.

Under the agreement, LNG will be supplied on a delivered ex-ship (DES) basis from Qatar’s LNG production facilities.

As one of the world’s largest producers with abundant natural gas reserves, Qatar has long been a cornerstone of Japan’s energy security, notably providing critical emergency LNG supplies following the Great East Japan Earthquake in March 2011.

As Japan expects an increase in electricity demand driven by the expansion of data centers, semiconductor manufacturing, and other energy-intensive infrastructure, gas-fired power generation will continue to play a critical role in maintaining Japan’s energy stability.

The procurement aligns with Japan’s Seventh Strategic Energy Plan, which positions natural gas as an important energy source even after achieving carbon neutrality, underscoring the importance of securing long-term, stable LNG supplies.

“We are delighted to achieve this milestone and to further deepen our steadfast relationship with QatarEnergy. This agreement solidifies a vital pillar of JERA’s strategy to strengthen our global portfolio and support the surging energy demand of tomorrow. It ensures we remain fully aligned with Japan’s national policy and the energy transition goals, securing a stable and resilient energy future for the nation,” said Yukio Kani, Global CEO and Chair of JERA.

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