Japan’s Jera gets $899 million loan for LNG purchases

The state-owned Japan Bank for International Cooperation (JBIC) and private sector financial institutions have agreed to provide a loan of 130 billion yen ($899 million) to Japan’s LNG trading giant and power generation firm, Jera, to help the latter fund LNG purchases.

JBIC said in a statement on Thursday it had signed the loan agreement with Jera. This loan would be co-financed with private financial institutions, it said.

According to the bank, the loan would provide the necessary funds for Jera to import LNG as prices continue to rise and to ensure a stable supply of electricity in Japan.

“As Japan’s public financial institution, JBIC will continue to actively support efforts by companies to secure a stable supply of important resources and contribute to Japan’s energy security,” it said.

Japan is looking to ensure winter LNG supply after the domestic electricity price soared last winter and the country experienced power shortages due to tight supply and demand, following severe cold weather and low LNG inventories.

Japan, the world’s largest LNG importer this year, mostly receives LNG under long-term contracts from countries such as Australia, Malaysia, Qatar, and the US, but also from the spot market.

LNG prices surged this year and Japan paid about $6.08 billion for its LNG imports in August.

Japan took about 49.95 million tonnes of LNG in the January-August period.

Most Popular

Yang Ming books LNG-powered containerships in South Korea

Taiwan’s Yang Ming Marine Transport has decided to order LNG dual-fuel container vessels from South Korea's Hanwha Ocean as part of its ongoing fleet optimization plan.

Sabah to take stake in Petronas’ third FLNG

SMJ Energy, owned by the Sabah government, has signed a heads of agreement with Malaysian energy giant Petronas to take a 25 percent stake in the latter's third floating LNG production unit.

Japan’s LNG imports drop in June

Japan’s liquefied natural gas (LNG) imports dropped by 2.8 percent in June compared to the same month last year, according to provisional data released by the country’s Ministry of Finance.

More News Like This

Japan’s LNG imports drop in June

Japan’s liquefied natural gas (LNG) imports dropped by 2.8 percent in June compared to the same month last year, according to provisional data released by the country’s Ministry of Finance.

Woodside, Jera ink non-binding winter LNG supply deal

A unit of Australian LNG player Woodside and Japan's Jera have entered into a non-binding heads of agreement for the sale and purchase of LNG cargoes during Japan’s peak winter period.

Jera plans to build new LNG units at Sodegaura power plant

Japan’s Jera plans to build new LNG-fueled units at its Sodegaura power plant in the Chiba prefecture, as part of its plans to replace aging facilities.

Japan reports lower May LNG imports

Japan’s liquefied natural gas (LNG) imports dropped by 4.3 percent in May compared to the same month last year, according to provisional data released by the country’s Ministry of Finance.