Toho Gas, Mitsubishi sign LNG HoA

Toho Gas of Japan informed that it has signed a heads of agreement with Diamond Gas, a Mitsubishi Corporation unit, to buy liquefied natural gas from Cameron LNG export project.  

Toho Gas will buy 200,000 tons of LNG for 20 years beginning with the start of production from the liquefaction facility that is planned for 2018, the company said in a statement.

Under the agreement, LNG price will be linked to the US natural gas Henry Hub index and Toho Gas will receive three cargoes per year from the Cameron project.

This is the second LNG supply deal between Toho Gas and Mitsubishi Corporation bringing the total supply capacity to 500,000 tons.

LNG World News Staff; Image: Cameron LNG