Jera, Japan’s largest power generation company and an energy leader, has taken a major step to strengthen Japan’s energy security by signing a long-term liquefied natural gas (LNG) supply agreement with QatarEnergy, alongside a new emergency supply cooperation framework involving Japan’s government.

Under the 27-year LNG sale and purchase agreement (SPA), Jera will secure 3.0 million tonnes per annum (MTPA) of LNG from QatarEnergy, with deliveries set to begin in 2028.

The LNG will be supplied on a delivered ex-ship (DES) basis from Qatar’s LNG production facilities, reinforcing Jera’s long-term fuel procurement strategy amid rising global energy demand.

Yukio Kani, Global CEO and Chair of Jera, said: “We are delighted to achieve this milestone and to further deepen our steadfast relationship with QatarEnergy. This agreement solidifies a vital pillar of Jera’s strategy to strengthen our global portfolio and support the surging energy demand of tomorrow. It ensures we remain fully aligned with Japan’s national policy and the energy transition goals, securing a stable and resilient energy future for the nation.” 

In parallel with the long-term supply deal, Jera also signed a memorandum of understanding (MOU) with Japan’s Ministry of Economy, Trade and Industry (METI) and state-owned QatarEnergy to establish a trilateral cooperation framework for LNG supply during emergency situations.

The MOU outlines procedures for securing additional LNG volumes if global market tightness or major natural disasters threaten Japan’s energy supply.

Should METI determine that emergency conditions warrant action, it may request QatarEnergy to consider supplying additional LNG to Japanese buyers, including Jera, with the parties consulting on appropriate response measures.

“This MOU provides an important framework for cooperation with our partners in situations where Japan may face supply constraints,” said Kani. “By strengthening coordination with METI and QatarEnergy, we are better positioned to respond with flexibility and agility to ensure stable energy supply for Japan.” -TradeArabia News Service