Petronas has locked in a seven-year LNG supply agreement with Japan’s Shizuoka Gas covering about 840,000 tonnes from fiscal 2032, extending a commercial relationship that has lasted three decades, according to Petronas. Petronas LNG Ltd signed the sale and purchase agreement with Shizuoka Gas on 9 July.
The contract was announced on 13 July and will run through fiscal 2038. The 840,000-tonne figure represents the total contracted volume over the full seven-year term rather than annual supply.
Cargoes will be drawn from Petronas’ global LNG portfolio and delivered on a DES basis, with the seller responsible for transporting the LNG to the agreed discharge port. The agreement builds on a relationship dating to 1996, when Shizuoka Gas received its first Petronas cargo at the Sodeshi LNG Terminal operated by Shimizu LNG. The Japanese company has since taken delivery of more than 200 Malaysian LNG cargoes.
The companies also plan to examine cooperation on carbon neutrality and decarbonisation across the LNG value chain.
Petroliam Nasional Berhad, which operates under the Petronas name, is Malaysia’s state-owned national oil and gas company. Established in 1974 and headquartered in Kuala Lumpur, it operates conventional energy, LNG, petrochemical and lower-carbon energy businesses. Petronas LNG Ltd is a wholly owned Petronas subsidiary responsible for LNG marketing and sales.
Shizuoka Gas Co Ltd is a Japanese gas and energy company founded in 1910 and headquartered in Shizuoka. Its operations include city gas supply and related energy services.
Shimizu LNG Co Ltd operates LNG receiving and regasification infrastructure in Japan’s Shizuoka prefecture.