Mitsubishi to buy US shale gas assets in $7.53 billion deal

Mitsubishi said in a statement on Friday that it agreed to acquire all equity interests in Aethon III LLC, Aethon United LP, and related entities and interests.

The Japanese firm reached an agreement with Aethon Energy Management and Aethon’s existing stakeholders, including Ontario Teachers’ Pension Plan, RedBird Capital Partners, for a total equity investment of approximately $5.2 billion.

The acquisition includes Aethon’s total net interest-bearing debt of $2.33 billion.

This transaction marks Mitsubishi’s entry into the US shale gas business across the value chain, from upstream ownership through domestic sales and export of produced gas.

Mitsubishi expects the acquisition to close in the first quarter of Japan’s fiscal year (April to June of 2026), subject to customary regulatory approvals.

US LNG exports

Building on MC’s established North American energy platform—which includes upstream shale gas development with Ovintiv in British Columbia, midstream marketing and logistics through CIMA Energy in Houston, LNG exports via LNG Canada and Cameron LNG, and power generation through Diamond Generating Corporation—this acquisition further strengthens MC’s integrated energy and power business.

Mitsubishi noted that Aethon’s shale gas assets are primarily located in the Haynesville Shale formation, spanning Texas and Louisiana, and currently produce approximately 2.1 Bcf/d of natural gas (equivalent to about 15 million tons per year of LNG).

Haynesville is a major supply source of natural gas for the growing southern US market and offers favorable access to multiple LNG export terminals, including Cameron LNG, where MC holds liquefaction capacity rights under a tolling agreement, it said.

Aethon’s natural gas is currently sold in the US southern market, and part of this volume is being considered for export as LNG to Asia, including Japan, as well as to Europe, Mitsubishi added.