KOGAS signs LNG supply cooperation deal with Japan’s JERA

Korea Gas Corp. (KOGAS) CEO Choi Yeon-hye, second from left, shakes hands with Yukio Kani, CEO of JERA, third from left, after signing a memorandum of understanding to deepen liquefied natural gas cooperation in Tokyo, Japan, Saturday. Korea’s Industry Minister Kim Jung-kwan, left, and his Japanese counterpart Ryosei Akazawa also attended the signing ceremony. Courtesy of KOGAS

Korea Gas Corp. (KOGAS) has signed a memorandum of understanding (MOU) with Japan’s biggest liquefied natural gas (LNG) buyer, JERA, to strengthen cooperation on LNG supply and demand management, as global energy market uncertainty grows amid instability in the Middle East.

Korea's minister of trade, industry and resources and Japan's minister of economy, trade and industry also attended the MOU signing Saturday, underscoring both governments’ interest in strengthening regional energy cooperation.

Under the agreement, KOGAS and JERA — the world’s two largest LNG buyers — agreed to deepen practical cooperation to bolster energy security by ensuring stable and efficient LNG supply management.

The two companies will establish a framework to optimize LNG shipping and terminal operations, including discussions on supply and demand trends and the exploration of additional LNG cargo swaps to improve logistical efficiency across their terminal networks.

The companies also plan to hold regular meetings to discuss detailed supply and demand coordination measures and joint response strategies during potential supply disruptions.

The two sides have continued to expand their partnership since signing an MOU on LNG cooperation in 2023. Last June, they successfully completed an LNG cargo swap project following discussions at the 2025 LNG Producer-Consumer Conference in Japan.

As neighboring energy-importing economies with large LNG demand, Korea and Japan share a strong interest in enhancing supply resilience and flexibility across the region through closer operational coordination among major LNG buyers.

A KOGAS official said the company is strengthening its readiness for possible energy supply disruptions stemming from rising geopolitical tensions, including a potential blockade of the Strait of Hormuz.

“KOGAS is preparing a comprehensive response, including plans to pursue additional LNG cargo swaps with JERA within the year as part of intergovernmental cooperation,” the official said. “We will continue to make every effort to ensure stable natural gas supply.”