Conclusion of LNG Sales and Purchase Agreement

Q: What are the key facts in this article?

Tokyo Gas and Shizuoka Gas have signed their first mid-to-long-term LNG sales and purchase agreement, making Tokyo Gas one of Shizuoka Gas's main suppliers. Starting in 2027, Tokyo Gas will deliver 5 LNG cargoes annually to Shizuoka Gas via ocean vessels. This agreement enhances energy security in Japan by diversifying LNG procurement channels amid increasing geopolitical risks.

Q: What is the direct answer?

Tokyo Gas and Shizuoka Gas have signed their first mid-to-long-term LNG sales and purchase agreement, making Tokyo Gas one of Shizuoka Gas's main suppliers. Starting in 2027, Tokyo Gas will deliver 5 LNG cargoes annually to Shizuoka Gas via ocean vessels. This agreement enhances energy security in Japan by diversifying LNG procurement channels amid increasing geopolitical risks.

Q: What is the source and date?

Source: https://prtimes.jp/main/html/rd/p/000001424.000021766.html | Date: Date unavailable

Tokyo Gas Co., Ltd. (President: Shinichi Sasayama, hereinafter "Tokyo Gas") and Shizuoka Gas Co., Ltd. (President: Naotake Matsumoto, hereinafter "Shizuoka Gas") have concluded a sales and purchase agreement for liquefied natural gas (hereinafter "LNG"). Under this agreement, Tokyo Gas is scheduled to deliver 5 LNG cargoes annually to Shizuoka Gas via ocean vessels starting in 2027. (From left: Shinichi Sasayama, Representative Director, President, and CEO of Tokyo Gas; Naotake Matsumoto, Representative Director, President, and Executive Officer of Shizuoka Gas) This marks the first time that Tokyo Gas and Shizuoka Gas have entered into a mid-to-long-term LNG sales and purchase agreement. Furthermore, through this agreement, Tokyo Gas will become one of Shizuoka Gas's main suppliers. Against the backdrop of increasing geopolitical risks in recent years, price fluctuations in the energy market have become more severe, highlighting the importance of diversifying LNG procurement channels. This agreement contributes to the diversification of LNG procurement and improves Japan's energy security by expanding domestic LNG transactions. [Outline of the Agreement] Seller: Tokyo Gas Buyer: Shizuoka Gas Date of Conclusion: May 7, 2026 Start of Agreement: 2027 (Mid-to-long-term agreement) Contract Quantity: 5 cargoes per year *1 Delivery Terms: DES (Delivered Ex Ship) *2 Supply Source: Supplied from LNG projects contracted by Tokyo Gas Tokyo Gas has set forth "Transformation of the LNG Value Chain" in its group management vision "Compass2030." Moving forward, the company will continue to expand LNG procurement and sales transactions, diversify its supply channels, enhance LNG procurement flexibility, and contribute to the stable energy supply in Japan. Shizuoka Gas announced its "Shizuoka Gas Group 2050 Carbon Neutral Vision" in August 2021, which includes a roadmap for achieving carbon neutrality. The company will continue to contribute to accelerating decarbonization through

Conclusion of LNG Sales and Purchase Agreement

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