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

Venture Global kicks off CP2 LNG site work

US LNG exporter Venture Global said it had initiated full mobilization and started site work at the company’s third LNG export facility, CP2 LNG.

Purus orders LNG carrier in South Korea

London-based Purus Marine has ordered one 180,000-cbm liquefied natural gas (LNG) carrier in South Korea.

Excelerate advances Vietnam LNG talks

US FSRU player Excelerate Energy is moving forward with its plans to supply Vietnam with liquefied natural gas (LNG) supplies from the US.

More News Like This

NextDecade, Jera seal 20-year LNG SPA

Japan's Jera has signed a 20-year deal to buy liquefied natural gas from the planned fifth train at NextDecade's Rio Grande LNG facility in Texas.

Japan’s April LNG imports climb

Japan’s liquefied natural gas (LNG) imports rose by 1.7 percent in April compared to the same month last year, according to provisional data released by the country’s Ministry of Finance.

GECF says April LNG imports rise

Global liquefied natural gas (LNG) imports rose by 3.5 percent year-on-year in April, boosted by higher imports in Europe, the Gas Exporting Countries Forum said in its latest report.

Japan’s Hokuriku Electric kicks off preliminary work on Toyama LNG unit

Japan's utility Hokuriku Electric has started preliminary surveys and facility design for a second LNG-fired unit at the Toyama Shinko thermal power station.