Tokyo Gas, Co., Ltd. announced today the signing of a heads of agreement regarding the sale and purchase of liquefied natural gas (LNG) with Saibu Gas Co., Ltd. .
Under the agreement, Tokyo Gas will supply Saibu Gas with LNG for a period of 16 years extending from FY2014 to FY2029. The LNG supplies to Saibu Gas will come from LNG projects with which Tokyo Gas has entered into contracts.
The agreement represents a convergence of interests between Tokyo Gas, which seeks to increase long-term, stable sales of LNG, and Saibu Gas, which seeks to establish more stable supply of LNG in accordance with the commencement of “Hibiki LNG terminal”, which is now under construction in the Hibiki-nada district, Kitakyusyu city.
The two companies will continue to move forward on discussions aimed at the signing of a final sales and purchase contract based on this agreement.
[mappress]
Source: Tokyo Gas, September 1, 2011;