Japan’s top power generator JERA said on Thursday it will acquire natural gas production assets in the United States for $1.5 billion.
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Japan’s top power generator JERA said on Thursday it will acquire natural gas production assets in the United States for $1.5 billion, in its first foray into shale gas production.
JERA said it has reached an agreement with pipeline operator Williams and GEP Haynesville II to acquire 100% of their interests in the South Mansfield gas field in western Louisiana’s Haynesville Shale basin.
GEP Haynesville II is a joint venture between GeoSouthern Energy, backed by Blackstone, and Williams.
Williams separately announced a $1.9 billion investment in Woodside Energy‘s liquefied natural gas production and export terminal under construction in Louisiana.
JERA, a joint venture between Tokyo Electric Power and Chubu Electric Power, has been boosting its exposure to the U.S. LNG sector this year, including signing a letter of intent last month to potentially take supplies from Alaska’s $44 billion LNG export project.
The latest U.S. investment would give JERA more control of its supply chain as Japan prepares for a surge in power demand from data centers critical to the artificial intelligence boom.
