Japan’s Mitsui nears decision to join new Sakhalin-2 operator, Nikkei reports

The emblem of Japanese buying and selling firm Mitsui & Co. is seen in Tokyo, Japan, January 10, 2018. REUTERS/Toru Hanai

TOKYO, Aug 20 (Reuters) – Japanese buying and selling agency Mitsui & Co (8031.T) is shut to creating a last determination to affix a brand new Russian operator for the Sakhalin-2 liquefied pure gasoline (LNG) mission, the Nikkei newspaper stated, with out citing sources.

Registered on Aug. 5, the brand new entity replaces mission operator Sakhalin Power as Moscow rewrites the foundations for international corporations working in Russia, amid world sanctions following its invasion of Ukraine. learn extra

Mitsui, which doesn’t see any situations that drawback it, will make a last determination by the tip of this month and notify Russia, the paper added.

The corporate and peer Mitsubishi Corp (8058.T), collectively held a stake of twenty-two.5% in Sakhalin-2. The latter remains to be contemplating whether or not to affix the mission, the paper added.

The mission is crucial to the vitality safety of resource-poor Japan, which imports a few tenth of its LNG from Russia, primarily from Sakhalin-2. Japan has requested each corporations to “suppose positively” in becoming a member of the brand new entity. learn extra

A Mitsui spokesperson declined to remark, past saying the agency was in talks.

Individually, JERA, a three way partnership of Tokyo Electrical Energy Holdings (9501.T) and Chubu Electrical Energy (9502.T), and Tokyo Fuel (9531.T) has renewed contracts to purchase LNG from Sakhalin-2, the paper stated on Friday.

A JERA spokesperson declined remark. A Tokyo Fuel spokesperson stated nothing had been selected the matter.

Reporting by Junko Fujita, Miho Uranaka, Yuka Obayashi; Enhancing by Clarence Fernandez

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