Tokyo Gas and British utility firm Centrica have announced a new arrangement to swap liquefied natural gas (LNG) next year, the Nikkei Asian Review reported on 21 November.
The deal will see Tokyo Gas’ LNG supply from the US going to Centrica, with Centrica’s LNG sourced from Asia going to Tokyo Gas. Actual swap volumes will depend on demand, but could see as much as 1.4 million tons flowing from Tokyo Gas to Centrica.
The move is designed to lower transportation costs and avoid expensive tolls on the Panama Canal.