- Region: Oceania
- Energy and Natural Resources
- Marine and Aerospace
- Import Loans
October 11, 2013
The Japan Bank for International Cooperation (JBIC; Governor: Hiroshi Okuda) signed on October 10, two loan agreements amounting up to 10,754 million Japanese yen and 10,955 million Japanese yen (JBIC portion) respectively, with LNG FUKUROKUJU SHIPPING CORPORATION (FUKUROKUJU) and LNG JUROJIN SHIPPING COPRPORATION (JUROJIN), both Bahamas companies owned 70% by The Kansai Electric Power Co., Inc. (Kansai Electric) and 30% by Mitsui O.S.K. Lines, Ltd. The loans are cofinanced with private financial institutions.
These loans are intended to finance two companies to procure the LNG (liquefied natural gas) tankers to be built for FUKUROKUJU by Kawasaki Heavy Industries, Ltd. and for JUROJIN by Mitsubishi Heavy Industries, Ltd., to transport LNG produced from Australia Pacific (AP) LNG Project*1 and Ichthys LNG Project*2 in Australia to Japan, imported by Kansai Electric. These loans will contribute to securing the long and stable supply of LNG to Japan that is increasing in importance in recent years as fuel for thermal power generation.
As a public financial institution, JBIC will continue to actively support the securing of a long and stable supply of important resources by drawing on its various financial facilities and schemes for structuring projects, and performing its risk-assuming function.
- *1 AP LNG Project is the project natural gas (unconventional natural gas existing in coal bed in form of coal bed methane) will be produced in Queensland and liquefied at the port of Gladstone, Queensland, Australia. Kansai Electric plans to purchase 1,000 thousand tons annually for 20 years starting 2016.
- *2 JBIC supports Ichthys LNG project in Australia. See Press Releases on December 18, 2012 and May 27, 2013 for details. Kansai Electric plans to purchase about 800 thousand tons of LNG annually for 15 years starting 2017.