Wedoany.com Report-Nov. 26, Venture Global announced on Tuesday that it has entered into a 20-year sales and purchase agreement with Tokyo Gas, Japan's leading city gas supplier. Under the contract, Venture Global will deliver 1 million metric tonnes per annum of liquefied natural gas (LNG) to Tokyo Gas beginning in 2030.

A natural gas pipeline and the Tokyo gas logo are seen in this illustration taken January 4, 2023.

This marks the fourth long-term supply agreement that the U.S.-based producer has concluded with a Japanese customer. In the past six months alone, Venture Global has secured contracts totaling 7.75 million tonnes per annum of LNG capacity, the company stated.

As the second-largest LNG exporter in the United States, Venture Global accounted for approximately 30% of total U.S. LNG production last month, according to LSEG data. The United States continues to hold the position of the world’s leading LNG exporter.

Global demand for LNG has increased significantly in recent years, encouraging buyers in Asia and Europe to establish long-term supply arrangements with American producers.

Japan, which ranks as the second-largest LNG importer globally after China, is working to ensure reliable and flexible energy sources to meet growing needs, including the expansion of data center infrastructure.

The new agreement with Tokyo Gas follows Venture Global's recent contract with Mitsui earlier this month and a previous deal signed with JERA in 2023.

With this latest SPA, Venture Global continues to expand its portfolio of long-term commitments in the Japanese market, reinforcing stable supply channels for one of the world’s key LNG importers. Deliveries under the Tokyo Gas contract will originate from Venture Global’s existing and under-construction liquefaction facilities in Louisiana.