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Under the MOU, the two companies will establish a framework to optimize LNG shipping and terminal operations, according to a statement by Jera.
Areas of cooperation include discussing supply and demand trends and exploring cargo swaps to enhance portfolio flexibility and logistical efficiency across their LNG terminal networks, the statement said.
As neighboring energy-importing economies with large LNG demand, Japan and Korea “share a strong interest in enhancing supply resilience and flexibility across the region, including through closer operational coordination among major LNG buyers.”
“Amid rising geopolitical tensions and market uncertainties, global energy markets are becoming increasingly volatile. As energy demand across Asia continues to grow alongside ongoing decarbonization efforts, LNG is expected to play an important role in ensuring reliable electricity supply and complementing renewable energy sources,” Jera said.
The joint venture of Tokyo Electric and Chubu Electric said it remains committed to ensuring a stable energy supply for Japan through strategic LNG procurement and resilient operations.
By strengthening collaboration with global partners, including Kogas, Jera will “continue to enhance the LNG value chain and build a more flexible and responsive framework to adopt to fluctuations in supply and demand while supporting the stability of regional energy markets.”
This is not the first time these two firms have signed an LNG collaboration deal.
Back in March 2017, Jera, Kogas, and CNOOC signed a memorandum of understanding to work on joint procurement of LNG, joint participation in upstream projects, and cooperation relating to LNG shipping and storage.
In April 2023, Jera and Kogas also signed a memorandum of understanding to strengthen their strategic relationship and cooperate in LNG supply.