Eni strengthens LNG focus in Asia with JOGMEC partnership

Italian energy company Eni has signed a Memorandum of Cooperation with the Japan Organisation for Metals and Energy Security (JOGMEC) to diversify liquefied natural gas (LNG) supply sources.

The collaboration hopes to promote the roles of gas and LNG in the energy transition. Specifically, the duo will promote the role of gas and LNG in achieving carbon neutrality.

Based on the latest IEA report from 2023, the top four of the top five net importing countries were all based in Asia. Between 2020 to 2022, Japan imported 94.8 billion cubic metres of LNG, the report suggests.

According to market research, around 70% of Japanese LNG imports are used for power generation, with the remaining 30% being used by town gas consumers.

It is thought that the partnership between Eni and JOGMEC will present Eni with opportunities to supply LNG to Japan. It will also support Japanese financial institutions and Eni’s Coral North project in Mozambique.

Eni’s Coral North project is based on the resources in the Coral field in Area 4 offshore Mozambique, which is part of the Rovuma Basin, believed to be one of the world’s most significant natural gas reserves.

Read more: bp starts shipping LNG from Mozambique

The first phase of the project saw the development of Mozambique’s first deepwater floating LNG facility, which started production in 2022.

In conjunction with the signed deal, Eni has also joined the Coalition for LNG Emission Abatement toward Net Zero (CLEAN Initiative), which was launched by Japanese and Korean importers and supported by government.

The initiative hopes to assess global LNG projects and share information and know-how on industry best practises to reduce emissions along the entire value chain.