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Venture Global Expands LNG Supply to Japan With Tokyo Gas Deal
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Key Takeaways
Venture Global signed a 20-year SPA with Tokyo Gas for 1 million tons of LNG annually from 2030.
The Tokyo Gas deal is part of 7.75 million tons per annum of new long-term offtake agreements.
Venture Global also filed for approval to expand its Plaquemines LNG project in a brownfield plan.
Venture Global Inc. (VG - Free Report) , a U.S.-based liquefied natural gas (LNG) exporter, has secured a new long-term offtake agreement with the Japanese company, Tokyo Gas. The Japanese firm signed the 20-year sales and purchase agreement (SPA) with VG to purchase 1 million metric tons per annum of LNG starting in 2030. The agreement marks Venture Global’s fourth LNG deal with a Japanese firm, indicating a rise in Japan's energy imports.
Over the past six months, Venture Global has secured several long-term LNG offtake agreements totaling 7.75 million tons per annum, including the deal signed with Tokyo Gas. Venture Global is one of the largest LNG exporters in the United States. Earlier this month, the company filed for the approval of the brownfield expansion of Plaquemines LNG with the Federal Energy Regulatory Commission.
Venture Global’s CEO stated that the company continues to build a strong market position through its new long-term partnership with Tokyo. Tokyo Gas is one of the leading suppliers of natural gas in Japan. With this new agreement, VG intends to establish itself as a reliable LNG supplier to Japan. The deal will also meaningfully contribute to the U.S.-Japan trade balance while providing a reliable supply of LNG to the country.
Per Reuters, Japan is the second-largest LNG-importing country after China. In 2024, nearly 66 million tons of LNG were imported by Japan.
Oceaneering International delivers integrated technology solutions across all stages of the offshore oilfield lifecycle. The company is a leading provider of offshore equipment and technology solutions to the energy industry. OII’s proven ability to deliver innovative, integrated solutions supports ongoing client retention and new business opportunities, ensuring steady revenue growth.
Canadian Natural Resources is one of the largest independent energy companies in Canada engaged in the exploration, development and production of oil and natural gas. The company boasts a diversified portfolio of crude oil, natural gas, bitumen and synthetic crude oil. It has delivered 25 consecutive years of dividend increases, one of the longest streaks among global oil producers.
FuelCell Energy is a clean energy company offering low-carbon energy solutions. It produces power using flexible fuel sources such as biogas, natural gas and hydrogen. The company designs fuel cells that generate electricity through an electrochemical process that combines fuel with air, reducing carbon emissions and minimizing the environmental impact of power generation. As such, FCEL is anticipated to play a crucial role in the energy transition by enabling industries and communities to shift from traditional fossil fuels to low-carbon alternatives.
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Venture Global Expands LNG Supply to Japan With Tokyo Gas Deal
Key Takeaways
Venture Global Inc. (VG - Free Report) , a U.S.-based liquefied natural gas (LNG) exporter, has secured a new long-term offtake agreement with the Japanese company, Tokyo Gas. The Japanese firm signed the 20-year sales and purchase agreement (SPA) with VG to purchase 1 million metric tons per annum of LNG starting in 2030. The agreement marks Venture Global’s fourth LNG deal with a Japanese firm, indicating a rise in Japan's energy imports.
Over the past six months, Venture Global has secured several long-term LNG offtake agreements totaling 7.75 million tons per annum, including the deal signed with Tokyo Gas. Venture Global is one of the largest LNG exporters in the United States. Earlier this month, the company filed for the approval of the brownfield expansion of Plaquemines LNG with the Federal Energy Regulatory Commission.
Venture Global’s CEO stated that the company continues to build a strong market position through its new long-term partnership with Tokyo. Tokyo Gas is one of the leading suppliers of natural gas in Japan. With this new agreement, VG intends to establish itself as a reliable LNG supplier to Japan. The deal will also meaningfully contribute to the U.S.-Japan trade balance while providing a reliable supply of LNG to the country.
Per Reuters, Japan is the second-largest LNG-importing country after China. In 2024, nearly 66 million tons of LNG were imported by Japan.
VG’s Zacks Rank and Key Picks
VG currently has a Zacks Rank #4 (Sell).
Some top-ranked stocks from the energy sector are Oceaneering International (OII - Free Report) , Canadian Natural Resources Ltd. (CNQ - Free Report) and FuelCell Energy (FCEL - Free Report) . While Oceaneering and Canadian Natural Resources currently sport a Zacks Rank #1 (Strong Buy) each, FuelCell carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Oceaneering International delivers integrated technology solutions across all stages of the offshore oilfield lifecycle. The company is a leading provider of offshore equipment and technology solutions to the energy industry. OII’s proven ability to deliver innovative, integrated solutions supports ongoing client retention and new business opportunities, ensuring steady revenue growth.
Canadian Natural Resources is one of the largest independent energy companies in Canada engaged in the exploration, development and production of oil and natural gas. The company boasts a diversified portfolio of crude oil, natural gas, bitumen and synthetic crude oil. It has delivered 25 consecutive years of dividend increases, one of the longest streaks among global oil producers.
FuelCell Energy is a clean energy company offering low-carbon energy solutions. It produces power using flexible fuel sources such as biogas, natural gas and hydrogen. The company designs fuel cells that generate electricity through an electrochemical process that combines fuel with air, reducing carbon emissions and minimizing the environmental impact of power generation. As such, FCEL is anticipated to play a crucial role in the energy transition by enabling industries and communities to shift from traditional fossil fuels to low-carbon alternatives.