Chubu Electric to buy US LNG a year early

Vying for a better bargaining position with other suppliers and to bring down high fuel costs Chubu Electric Power will start importing US LNG in 2016, one year ahead of schedule, reports the Nikkei Asian Review.

Japanese utility signed a contract with Cheniere for 700,000 tons of LNG from Sabine Pass terminal between July 2016 and January 2018.

LNG produced from shale gas in the US is 20-30% cheaper than Middle East or Southeast Asia LNG.

LNG World News Staff, August 6, 2014; Image: Cheniere