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    Chugoku Electric, Tokyo Gas Sign LNG MoU

Summary

The companies want to realise further flexibility and lower procurement costs.

by: Shardul Sharma

Posted in:

Natural Gas & LNG News, Asia/Oceania, Liquified Natural Gas (LNG), Security of Supply, Gas to Power, Corporate, Import/Export, News By Country, Japan

Chugoku Electric, Tokyo Gas Sign LNG MoU

Chugoku Electric Power and Tokyo Gas have signed a memorandum of understanding to consider a strategic partnership in LNG procurement, the two companies said December 12 in a joint statement.

“The two companies have continued to build a strong relationship leading up to today and now will further consider to strategically optimize procurement of LNG for both companies,” the utilities said.

Chugoku Electric Power and Tokyo Gas said they will look to further consider the cooperation through flexible utilisation of both companies’ assets and resources, “in an attempt to realise further flexibility and lower procurement costs.”

They also plan to further consider cooperating to interchange LNG supply, including at times of emergency, to increase the stability of supply for both companies. “Furthermore, the two companies will not only discuss regarding cooperation and building a strategic alliance in LNG procurement but will consider a further partnership in various other fields that will lead to creating value for customers of both companies by providing a competitive and stable supply of energy,” the companies said.