Japan's Jera Signs Deal to Continue to Buy LNG from Sakhalin-2

Economy

Tokyo, Aug. 29 (Jiji Press)--Japanese power utility Jera Co. has signed a contract to continue to buy liquefied natural gas from the Sakhalin-2 oil and gas development project in the Russian Far East.

Jera, a joint venture between Tokyo Electric Power Company Holdings Inc. <9501> and Chubu Electric Power Co. <9502>, signed the contract on Thursday with the new Russian operator of the Sakhalin-2 project.

The terms of the new contract, such as the purchasing price and volume, was unchanged from the one with the previous Sakhalin-2 operator.

Jera had a long-term contract with the previous operator to annually procure 2 million tons of LNG, and has been using it for thermal power generation.

Among other Japanese power and gas utilities, seven including Kyushu Electric Power Co <9508>, Tokyo Gas Co. <9531> and Hiroshima Gas Co. <9535> have been procuring LNG from Sakhalin-2.

[Copyright The Jiji Press, Ltd.]

Jiji Press