Key facts
- Japan's largest LNG importer, JERA, plans to sell excess liquefied natural gas on global markets.
- The strategy aims to tap into international markets and sell surplus gas when domestic demand is low.
- JERA established a new subsidiary, JERA Global Energy Solutions (JERA GES), to manage its LNG, upstream, low-carbon fuels, and shipping businesses.
- JERA GES will be headquartered in Singapore.
- JERA signed a 20-year LNG supply contract with Malaysia's Petronas, set to begin in 2028.
JERA, Japan's largest importer of liquefied natural gas and its biggest power producer, intends to sell LNG on the global market as part of a strategy to capitalize on excess supply when domestic demand is low. The move aims to tap into international markets and diversify its portfolio, according to a senior executive.
Irtiza Sayyed, CEO of the newly established JERA Global Energy Solutions (JERA GES), told Bloomberg in an interview published Wednesday that the company wants to "identify additional markets where we can sell." JERA GES, which will be headquartered in Singapore, is designed to be a vertically integrated LNG company capable of responding quickly to market needs while prioritizing Japan's energy security. The company also aims to advance lower-carbon fuels like ammonia and hydrogen.
Earlier this year, amid volatility in global LNG markets, JERA signed a 20-year contract with Malaysia's state-owned Petronas for LNG supply, commencing in 2028. Japan, highly dependent on energy imports, has been seeking alternative supplies following disruptions related to the war in Ukraine and ongoing supply issues from Qatar and the United Arab Emirates.