Japan's LNG Lobby Urges Government to Help Break Open Contracts [Financial Post (Toronto, Ontario, Canada)]
TOKYO GAS CO LTD UNSP/ADR (TKGSY)
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Source: Financial Post
government to help negotiate better terms, according to the head of an industry lobby group. Author of the article: You can save this article by registering for free here . Or sign-in if you have an account. (Bloomberg) — Japan's liquefied natural gas buyers — among the world's biggest — are struggling to ensure supply contracts are flexible enough, and need the government to help negotiate better terms, according to the head of an industry lobby group. So-called destination clauses that limit the on-selling of shipments make it harder for companies to commit to decades-long contracts considering uncertainty about future demand, Japan Gas Association Chairman Takashi Uchida said in an interview on Monday. Such restrictions are common in contracts with Qatar's state-owned producer, among others, who don't want resold gas damping demand in other markets. “We've been asking the government to help with making contracts destination clause-free,” said Uchida, who is also chairma
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