NOVATEK AND JAPAN’S SAIBU GAS SIGN LNG AGREEMENT
In the presence of the Minister of Economic Development of the Russian Federation Maxim Oreshkin and the Minister of Economy, Trade and Industry of Japan Hiroshige Seko, PAO Novatek, the largest independent natural gas producer in Russia and Saibu Gas Co., signed a LNG Heads of Agreement.
According to the agreement, the parties intend to establish a joint venture focused on marketing LNG and natural gas to end customers and developing the business for bunkering and gas-fired power generation in Japan and the Asian region, as well as constructing and operating a new LNG storage tank at the Hibiki LNG terminal.
“We have made another important step forward in implementing our strategy to enter the end customer market in key gas consuming countries, among which Japan is one the biggest markets and long time consumer of LNG,” noted Leonid Mikhelson, Novatek’s Chairman of the Management Board. “The creation of our joint venture with Saibu Gas allows us to increase the marketing flexibility of natural gas supplies and create additional opportunities for LNG sales in this important gas consuming region”.
Headquartered in Fukuoka, on the northern shore of Japanese island Kyushu, Saibu Gas Co., engages in the production, supply and sale of natural gas. It also deals with production, sale and installation of gas equipment and apparatus, and related construction work. It operates through the following segments: Gas, Liquefied Petroleum Gas and other energy.