Japan’s Tokyo Gas decided to cut down on LNG imports from Malaysia once the long-term contract runs out this year.
The current 15-year deal under which Tokyo Gas imports up to 2.6 million tons per year of LNG from a Petronas unit is set to end in March 2018.
Speaking to Reuters, the company’s president-elect Takashi Uchida said the company has three deals in place with Malaysia, and the one expiring this March has the largest purchase volumes of the three.
Uchida said the contract will be renewed, however, the volumes will be lower as the company has diversified its supply portfolio adding sources in North America.
Tokyo Gas is also considering whether to give a green light for the Sodegaura coal-fired power plant joint venture with Kyushu Electric as the public criticism of coal keeps rising.
LNG World News Staff