Japan Looks To Canada For Gas

May 2012, Vol. 239 No. 5

Photo: Alex Indigo.

Platts reports Japan and Canada agreed March 25 to cooperate on developing energy resources, including natural gas and minerals in Canada.

There is growing interest in Japan to import shale gas from Canada as a means to diversify its LNG supply. Japanese LNG buyers are weighing the option of importing shale gas from Canada and hope to import it on a pricing basis linked to Henry Hub or other North American gas benchmarks, instead of the more traditional - and generally more expensive - oil benchmarks, according to industry source