YUZHNO-SAKHALINSK, Russia, March 4 (UPI) -- Russian Sakhalin Energy Investment Co. Ltd. signed a sale and purchase agreement with Japanese Osaka Gas on Wednesday for liquefied natural gas.
"The signing of this agreement and Sakhalin LNG deliveries under the deal fortify the trading and commercial relationship between Russia and Japan," Ian Craig, chief executive of Sakhalin Energy, said in statements published on the corporate Web site.
The deal supplies Osaka Gas with more than 967 trillion cubic feet of LNG per year for at least the next 20 years.
"LNG from Russia will be delivered to Osaka Gas for the first time, and it will be our seventh LNG source on a long-term basis, contributing to our diversified LNG procurement portfolio," said Osaka Gas President Hiroshi Ozaki.
Osaka Gas is the second-largest gas company in Japan.
An LNG plant associated with fields near Sakhalin Island was inaugurated in February to supply markets in Japan, South Korea and North America.
