Tokyo Gas, Japan’s largest city gas supplier, has set a goal for its U.S. shale gas and related businesses to account for 50 per cent of its targeted $333 million overseas profit by 2030, Reuters reported on Thursday, citing the company’s president.
The company recently acquired Texas-based natural gas producer Rockcliff Energy for $2.7 billion and agreed to purchase a 49 per cent stake in North American energy marketing and trading firm ARM Energy Trading.
The company aims to establish a U.S. gas value chain that will increase the value of its investments rather than relying solely on individual projects for profits, Tokyo Gas president Shinichi Sasayama said.
Tokyo Gas is restructuring its portfolio to achieve decarbonisation and ensure a stable energy supply. It is expanding its reach in the U.S. from upstream assets to mid- and downstream businesses while divesting some minority stakes in gas projects in Australia.
Regarding the current pause in U.S. LNG export permits enacted by the Biden administration, Sasayama stated that it will have no immediate impact on its gas operation.
However, he acknowledged the potential for more stringent regulations and expressed willingness to work with the Japanese government and others to discuss the issue if necessary.
Tokyo Gas sees North America as a promising region, along with Asia. The company is also considering the implications of Donald Trump’s possible re-election as U.S. President in the November election.
