Chubu to purchase LNG from BG Group

Chubu became the first Japanese electric power company to agree on a long term purchase of LNG derived from CBM.

The company is to purchase up to 120 cargoes, which is up to 8.4 million tonnes if a 140,000 cubic metre capacity vessel is used, over 20 years commencing 2014 on Ex-Ship basis.

Chubu Electric Power Company believes this LNG supply from BG Group's portfolio and the high potentiality of the Australian CBM project will contribute to its stable LNG procurement.

Chubu Electric and BG Group intend to complete and execute the fully termed LNG sales and purchase agreement in the first half of 2011.

It is the first time that Chubu Electric has agreed to LNG portfolio supplies, which do not limit the source of supply to a particular project, under a long term contract.