Japan set to extend Brunei gas supply contract for 10 years
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A long-term contract for Brunei to supply Japan with liquefied natural gas (LNG) is set to be renewed for another 10 years when the existing agreement expires in 2013, a Japanese government official said yesterday.
In an interview, the Japanese official said that the Sultan of Brunei and Japanese Prime Minister Yoshihiko Noda had discussed the extension of the supply contract at the bilateral meeting between the sultanate and Japan at the Peace Palace in Phnom Penh.
The meeting, in which the Japanese official was present, was held last Monday on the sidelines of the 21st Asean Summit.
Noting that a large percentage of Japan’s LNG demand is being supplied from Brunei, the Japanese official said that given the longstanding relationship between the two countries, it was “quite natural for both sides to renew the contract”, which expires next year.
He added that negotiations for the contract extension were “well under way” and that it would likely be extended by another 10 years.
