JERA: US LNG will create stability in Japan

A tanker at port in Japan

Japanese energy giant JERA purchased LNG from the United States for the first time in January this year, and believes the purchase of US LNG will contribute to a stable supply in Japan through the diversification of procurement regions and LNG price indices.

Ahead of Gastech Japan 2017, which will be held in Tokyo this April, the senior executive vice president of JERA has confirmed that senior team members will be in attendance at the Gastech Exhibition and Conference in order to seek business opportunities and network to strengthen its gas and LNG business.

The company is currently one of the largest LNG buyers in the world.

Senior executive vice president, chief fuel transactions officer at JERA Hiroki Sato, said according to the latest IEA report, fossil fuel will remain a key aspect of their global primary energy supply up toward 2030.

“Currently, coal is the most popular form of fossil fuel, but toward 2030 we believe that gas and LNG will be the preferred choice of fossil fuel,” he said.

As part of its business strategy, the company aims to double its revenue from 2,200 billion JPY to 4,600 billion JPY, and to make a 14-fold increase in net income between 2016 and 2030.

In terms of its business and operational activity, JERA aims to maintain its LNG transaction volume from 30 to 40 million metric ton per annum, investing in a total of 12 projects worldwide, and nearly doubling its LNG transport vessels, from 16 to 30.