Today, the Tokyo Electric Power Company, Incorporated ("TEPCO") entered into an LNG Sales and Purchase Agreement with Qatar Liquefied Gas Company Limited ("Qatargas") for the supply of liquefied natural gas (LNG) from the State of Qatar.
Under this agreement, TEPCO will purchase approximately 1 million tons of LNG per annum on a long-term basis effective from August 2012.
Given the increased thermal power generation following the earthquake disaster, TEPCO has communicated to Qatargas, the existing long-term contract seller, the need for an additional supply of LNG. Hence, on this occasion we have concluded the execution of a new long-term sales contract.
The State of Qatar, which has the world's largest LNG supply capacity, started supplying LNG from 1997 and TEPCO received the first LNG cargo in 1999 under the Existing LNG Sales and Purchase Agreement ("Existing SPA") with Qatargas. Since then, TEPCO has been receiving a stable supply of LNG from Qatargas, approximately 200 thousand tons per annum, based on the Existing SPA.
The conclusion of the new LNG Sales and Purchase Agreement with Qatargas beyond the Existing SPA will contribute to TEPCO's stable procurement of LNG and will further strengthen the relationship with the State of Qatar.
From here on, TEPCO will continue to work towards the stable and efficient procurement of fuel in order to maintain a secure supply of energy.
Outline of the Agreement etc (PDF 65.8KB)