Tokyo Gas Co. has signed a Letter of Intent with the Alaska Gasline Development Corp (AGDC) regarding the sale and purchase of LNG from AGDC to Tokyo Gas, as well as exploring other opportunities around Alaska LNG.
Alaska LNG is an integrated gas pipeline and LNG infrastructure project that will provide a direct and reliable link between the vast proven, conventional, natural gas resource on Alaska’s North Slope with the growing LNG markets in Asia.
“I am pleased to help the longstanding LNG trade between Japan and Alaska continue for the next 40 years,” said Keith Meyer, President, AGDC. “The LOI signed today signifies the continuation of this decades-long relationship between Alaska and Tokyo Gas Co., Ltd. and helps round out the sales volumes from the Alaska LNG project.”
In a statement Tokyo Gas said that AGDC would look to supply the natural gas produced from the North Slope gas field in Alaska and to transport the gas to the Nikiski LNG terminal and to liquefy the gas. The Project will provide the LNG of around 20 million ton per annum.
Tokyo Gas has had a strong relationship with the State of Alaska since 1969 when Tokyo Gas became the first Japanese buyer of Alaskan LNG to commence the LNG history in Japan.
“Alaska is a trusted source of LNG,” said Michiaki Hirose, President, Tokyo Gas Co., Ltd. “For more than forty-years Tokyo Gas Co., Ltd. received shipments of LNG from Alaska. As the closest source of North American LNG to Japan, with a shipping time of as little as seven days point to point, Alaska LNG is naturally an economic and reliable source of LNG for Tokyo Gas Co., Ltd.”
Tokyo Gas Co. is one of the largest energy utility groups in Japan, reported to be the principal service provider to 11 million people in the Greater Tokyo Area according to AGDC.