Chubu Electric Power Company, Inc. (“Chubu Electric”;President: Akihisa Mizuno) and Shizuoka Gas Company, Ltd. (“Shizuoka Gas”;President : Hiroshi Tonoya) announce that they have executed today a tripartite LNG sales and purchase agreement with Qatar Liquefied Gas Company, Ltd (“Qatargas”).
Under the agreement, Chubu Electric and Shizuoka Gas will, for a period of 6 years from 2016 to 2021, purchase approximately 200,000 tons of LNG per annum (approximately 1,200,000 tons in total) from Qatargas. Quantities of LNG shared by Chubu Electric and Shizuoka Gas will be determined by the two companies and informed to Qatargas.
Chubu Electric has established strong relationship with Qatargas as a foundation buyer of the LNG project in Qatar since the company executed a long-term LNG sale and purchase contract in 1992. Shizuoka Gas has sought a closer link with Qatargas through purchases of spot LNG cargoes from Qatargas.
Shizuoka Gas has now joined the group of long-term LNG buyers based on the long-standing relationship of trust between Qatar, the world’s largest supplier of LNG, one hand, and Chubu Electric, on the other. This will further cement the existing relationship between Qatargas and Chubu Electric and contribute to enhance the stability of LNG supply for Shizuoka Gas. And Chubu Electric and Shizuoka Gas consider that this will enhance the reliability of energy supply in the Chubu area of Japan through the stronger relationship between two adjacent utilities.
1 Outline of the Agreement
Seller Qatar Liquefied Gas Company, Ltd.
Buyers Chubu Electric Power Company, Inc. and Shizuoka Gas Company, Ltd.
Duration Years 2016 to 2021
Quantity Approximately 200,000 tons per annum
(Total quantity of LNG to be delivered is approximately 1,200,000 tons.)
2 Qatargas in Brief
Full name Qatar Liquefied Gas Company, Ltd.
Address Doha, Qatar
CEO Khalid Bin Khalifa Al Thani
Established November 1, 1984
Business Production, storage, loading, delivery and sales of LNG as well as
developing natural gas fields
(Qatargas has supplied LNG to Japanese electricity and gas
companies since 1997).