Offshore Technology

Petronas, Shizuoka Gas sign seven-year LNG supply agreement

The agreement will bolster the long-standing business relationship between the parties, which began when Petronas first supplied LNG in 1996.

Petronas LNG has agreed to supply liquefied natural gas (LNG) to Shizuoka Gas under a new sale and purchase agreement (SPA) that will run for seven years from financial year 2032 to 2038.

The arrangement involves the delivery of approximately 840,000t of LNG, which will be provided on a delivered ex ship basis from Petronas’ global LNG portfolio.

The SPA aims to bolster the long-standing business relationship between the two companies, which began when Petronas first supplied LNG cargo to Shizuoka Gas at the Sodeshi LNG Terminal in 1996.

Since then, Shizuoka Gas has received more than 200 cargoes of Malaysian LNG in the past three decades.

Petronas executive vice-president and gas and maritime business CEO Datuk Adif Zulkifli said: “This agreement marks more than a commercial milestone, it reflects 30 years of mutual trust, shared growth and a partnership that has continued to evolve alongside the changing energy landscape. We value the strong relationship we have built with Shizuoka Gas and look forward to deepening our collaboration in the years ahead.

“As our customers' needs become increasingly dynamic, Petronas remains committed to delivering reliable and flexible LNG solutions through our global portfolio, supporting long-term energy security while advancing a pragmatic and responsible energy transition.”

Shizuoka Gas emphasised that the new supply will diversify and strengthen its LNG procurement, providing greater flexibility and resilience amid changing market dynamics and heightened geopolitical risks.

Both companies have stated that they intend to expand their partnership beyond traditional LNG supply, signalling interest in exploring areas related to decarbonisation and carbon neutrality along the LNG value chain.

Shizuoka Gas previously announced its 2050 Carbon Neutral Vision and continues to support low carbonisation efforts through the stable procurement of LNG.

In May 2026, Shizuoka Gas entered into a long-term LNG supply agreement with Tokyo Gas. Under the terms of the agreement, Tokyo Gas will deliver five cargoes of LNG annually to Shizuoka Gas, beginning in 2027.