Kyushu Electric Power on Friday said it has signed a liquefied natural gas sales and purchase agreement with Nippon Gas.
Under the contract, Kyushu Electric Power will supply a portion of LNG it procures from abroad to Nippon Gas using ocean-going carriers, a statement by the company reveals.
The contract is for a 15-year term and will start with the fiscal year 2016 and volumes are said to be at 50,000 tons per year.
LNG cargoes will be delivered on a free on board (FOB) and DES basis, Kyushu Electric Power said.
In 2010, Kyushu signed an agreement with Gorgon for the delivery of up to 0.3 million tons of LNG per year from the Gorgon and 0.8 mtpa from the Wheatstone liquefied natural gas project in Australia.
The company agreed to purchase LNG for 15 years from Gorgon and 20 years from Chevron’s Wheatstone LNG project.
LNG World News Staff; Image: Kyushu Electric Power