Japan’s power generation major JERA has locked in majority control of Pan Pacific Energy, upgrading its indirect stake in Australia’s liquefied natural gas (LNG) project in a strategic play to shore up long-term energy security for Japan.
JERA has strengthened its indirect participation in the Chevron-operated Wheatstone LNG project by acquiring all shares held by Japan Organization for Metals and Energy Security (JOGMEC) in Pan Pacific Energy (PEJ), the company through which the Japanese heavyweight holds its interests in this Australian LNG project with other shareholders, Mitsubishi Corporation and Nippon Yusen Kabushiki Kaisha (NYK Line).
With the completion of the transaction done on October 2, 2026, JERA's ownership interest in PEJ has increased to 50.1%, strengthening its position in the Wheatstone LNG project. The interests held by PE Wheatstone (PEW), a subsidiary of PEJ, remain unchanged at 10% in the upstream gas field development and 8% in the LNG liquefaction project.
The Wheatstone LNG project processes and liquefies natural gas produced from offshore gas fields off the coast of Western Australia at the Ashburton North facility. Since starting production in 2017, the project has contributed to the stable supply of LNG to Japan.
Australia remains strategically important to JERA as a trusted and reliable supplier of LNG, as the company procures approximately 5.2 million tonnes of LNG annually from the project, making it one of the firm's key LNG supply sources.
The Japanese firm intends to continue to maintain a strong presence in key Australian LNG projects while building a diversified LNG portfolio through balanced procurement from the Asia-Pacific region, the Middle East, the United States, and other sources.
Irtiza Sayyed, JERA’s Senior Managing Executive Officer and JERA Global Energy Solutions CEO, commented: "Reliable LNG supply is fundamental to energy security.
“This acquisition supports our strategy of securing stable and competitive LNG supply and will help meet Japan's energy needs and contribute to energy security across the Asia-Pacific region for years to come."