Japanese trading houses Mitsui & Co., Itochu Corp. and electricity firm Jera Co. have broadly agreed with the government of Oman to import over 2 million tons of liquefied natural gas a year from the Middle East country, Japanese government sources said Tuesday.
Against the backdrop of energy supply disruptions due to Russia's invasion of Ukraine, oil and gas explorer Inpex Corp. also announced the same day it has signed a 20-year agreement with Venture Global LNG to import 1 million tons per annum of LNG from the United States, one of the world's leading LNG exporters.
The government sources said Mitsui, Itochu and Jera, a joint venture between Tokyo Electric Power Company Holdings Inc. and Chubu Electric Power Co., will procure LNG from 2025 for about 10 years.
Japan currently imports about 1.9 million tons of LNG, or about 2.6 percent of total LNG imports, from Oman.
Inpex, meanwhile, said it will purchase LNG to be produced at Venture Global LNG's plant in Louisiana, construction of which is expected to begin in 2023.
Amid energy security concerns, the Japanese government has engaged in diplomatic efforts to diversify its LNG supply sources, with industry minister Yasutoshi Nishimura currently on a trip to the Middle East.