Malaysia's Petronas signs a 20-year LNG Supply Deal with Japan's JERA

The leaders of Malaysia and Japan announced on Wednesday that Malaysian?Petronas would supply Japanese utility?JERA 2 million tons per year of liquefied natural gas (LNG).

The agreement will start in 2028 as Japan looks to bolster its?energy reserve to deal with a global LNG shortage?linked to a war in Iran.

At a press briefing following her meeting with Malaysian counterpart Anwar Ibrahim, Japanese Prime Minister Sanae Takaichi stated that "amid increasing uncertainty in the international energy scenario, cooperation with Malaysia is becoming more and more important."

Anwar is in Tokyo for a 3-day working trip, where he's been meeting with government officials and representatives of the industry.

Takaichi, without giving details, said that the two countries had also agreed to "work together" to ensure stable supply of fertilisers and feedstocks, as well as to strengthen critical mineral supply chain.

Anwar stated that the two countries would seek to boost their trade in ringgits and yens as well as cooperate on semiconductors, defence, and other energy initiatives. Reporting by Danial Azar in Kuala Lumpur; Tim Kelly and John Geddie, in Tokyo. Editing by David Stanway.

(source: Reuters)