Mitsubishi and Korea Gas to collaborate on natural gas projects
2/28/2011 12:00:00 AM
Mitsubishi and Korea Gas have established a long-standing good relationship through LNG projects Mitsubishi has invested in . This has been enhanced through Mitsubishi’s coordination of LNG swap transactions between Korea Gas and Japanese utilities, which have efficiently leveraged the seasonal differences in supply and demand, and through joint participation in the Dongg-Senoro LNG project which its final investment decision was made last January.
This MOU will further enhance and expand the companies’ relationship by facilitating joint studies on strategic developments of LNG project and unconventional natural gas projects in various areas such as Canada and Australia where both companies are looking into such projects at present. The MOU will also help optimize Korea Gas’ procurement of LNG, and give both companies more opportunities to take part in downstream businesses in other countries. In addition, Mitsubishi and Korea Gas have agreed that Mitsubishi will look into financing to cover both companies’ involvement in these projects. The partners will also exchange trainees to help their people gain knowledge and experience.
In response to growing interest in clean energy and the rise of emerging economies, the demand for natural gas is expected to increase in the future. From a geopolitical perspective, it is important that Korea and Japan work together to secure energy resources within eastern Asia.
Along with a road map in this MOU, Mitsubishi and Korea Gas are committed to strengthening bilateral efforts in energy security. Working with Korea Gas, Mitsubishi aims to materialize new energy projects that will help secure a stable supply of energy in the future.
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