Tokyo Gas Co. said Tuesday it has signed a deal to buy land from Ibaraki Prefecture to build a liquefied natural gas terminal.
Tokyo Gas will pay ¥3.2 billion to buy the 10.4-hectare site, a section of a port in the prefecture.
The major gas supplier plans to start construction on the Hitachi terminal in late July, with operations slated to start in the 2015 business year.
The LNG terminal project, involving a total investment of ¥120 billion, envisions the establishment of an LNG tank with a capacity of 230,000 kiloliters.
Also planned are a large jetty used to receive oceangoing LNG tankers, LNG vaporizers and other facilities.
Tokyo Gas will establish a pipeline that will connect the terminal to an existing pipeline in Moka, Tochigi Prefecture.
The new terminal will be used in coordination with three existing Tokyo Gas terminals in the Tokyo Bay are.
Tokyo Electric Power Co. said it has agreed with U.S. oil major Chevron Corp. to acquire a stake in a liquefied natural gas project off Australia with a Japanese government-backed resource developer and two Japanese firms.
Tepco, together with Japan Oil, Gas and Metals National Corp., or JOGMEC, trading house Mitsubishi Corp. and shipping company Nippon Yusen K.K., will acquire a 10 percent interest in field licenses and an 8 percent interest in natural gas processing facilities in the Wheatstone LNG project.