Japan's Tokyo Gas and British energy supplier Centrica agreed to jointly purchase 2.6 million tonnes of LNG per year from Mozambique LNG Company, Tokyo Gas said on Tuesday.
The LNG will be delivered ex-ship from Mozambique LNG from the start-up of production, which is expected by 2023-2024, until the early 2040s.
The company said the agreement also represents the first long-term LNG procurement contract in Africa for both Tokyo Gas and Centrica in line with ongoing efforts to further diversify their respective portfolios of LNG resources.
"This innovative joint procurement approach takes full advantage of Mozambique’s central location between Europe and Asia, assisting both companies to access diverse markets and proactively manage demand fluctuations across regions with different market dynamics," Tokyo Gas said in a written statement.
The U.S. energy company Anadarko-operated Mozambique LNG project will be Mozambique’s first onshore LNG development, initially consisting of two LNG trains with a total capacity to produce 12.88 million tonnes per year in its initial phase.
By Murat Temizer