JERA and Saibu Gas agree to collaborate in the strategic use of Hibiki LNG Terminal

JERA and Saibu Gas have previously explored ways to collaborate to ensure the stable procurement of LNG as a way to contribute to improving Japan’s energy security. In November 2024, to address domestic demand for natural gas and enhance supply stability, Saibu Gas decided to expand capacity at Hibiki LNG Terminal, including the construction of the 3rd LNG Tank. This provided an opportunity for JERA and Saibu Gas to agree to take concrete steps to strengthen stable procurement of LNG.

Based on the agreement, JERA becomes able to use the 3rd LNG Tank, which can be expected to improve its ability to address growing volatility in the electricity supply-demand balance caused by the large-scale adoption of renewable energy and seasonal disparities in electricity demand.

For Saibu Gas, the construction of the 3rd LNG Tank enables it to capture demand and ensure supply stability , and using the 3rd LNG Tank together with JERA also enables reciprocal LNG sharing between the two companies and ensures the terminal’s stable operation and profitability.

In addition, JERA and Saibu Gas will aim to expand profitability by leveraging the advantageous location of Hibiki LNG Terminal to drive business in Asia and globally.

Furthermore, JERA and Saibu Gas will also explore ways to advance the broader energy business over the long term, including next-generation fuels such as hydrogen.

Through the agreement, the JERA and Saibu Gas will contribute to the stability of Japan’s energy supply, to decarbonisation in Asia and globally, and to solving the world’s energy issues.

Read the article online at: https://www.tanksterminals.com/terminals/29042025/jera-and-saibu-gas-agree-to-collaborate-in-the-strategic-use-of-hibiki-lng-terminal/