Qatargas’ LNG supplies to JERA unaffected by rift

Qatargas' LNG supplies to JERA unaffected by rift
Image courtesy of JERA

Japan’s JERA, the world’s largest buyer of liquefied natural gas (LNG), has been assured that the Qatar’s diplomatic isolation by Saudi Arabia, Egypt, UAE and Bahrain will not impact LNG supplies. 

Following the decision by the four Arab countries to cut their ties with Qatar over accusations it has supported extremist groups such as the Muslim Brotherhood, ISIS (Islamic State) and al-Qaeda, traders were unsure of the effect of such a decision on LNG supplies.

Although JERA was informed by Qatargas LNG supplies will not be impacted, it said it will continue monitoring the Middle Eastern geopolitical issue for effects on the energy market, Reuters reports, citing a company statement.

Qatargas is delivering nearly seven million tons of LNG per year to JERA, a joint venture between two Japanese utilities, Tepco and Chubu Electric.

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