LAST UPDATE: 13.29
Japan announced today that it will deliver some of its liquefied natural gas (LNG) imports to Europe, in the face of the risk of disrupting the region’s Russian gas supply in the event of escalating tensions over Ukraine.
The tankers, originally destined for Japan to transport LNG, are already heading to Europe and are expected to arrive there this month and more in March, Japanese Economy, Trade and Industry Minister Koichi Hagiuda told reporters today.
The minister, however, did not specify the quantities that will be offered and sold in Europe at market prices. Instead, he stressed that the size of these deliveries depends on Japan first having sufficient quantities of LNG.
The Japanese archipelago is one of the world’s leading importers of LNG, on which it relies heavily to generate electricity, operate factories and heat in winter.
However, Japan may not have enough gas to ship to Europe, as it is currently struggling to get enough, and the cold was particularly severe in the country earlier this year.
Hagiuda referred to the “difficult” energy situation in Japan at the moment, explaining that Tokyo wants to meet the requests of the US and European Union ambassadors to Japan to help Europe get LNG.
A possible Russian invasion of Ukraine fuels fears of a halt to Russian gas supplies to Europe in the event of retaliation by Western countries against Moscow. This scenario in any case is not considered the most likely by energy industry analysts.
Source: AMPE
Source: Capital
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