The emerging energy axis takes shape

Liquified natural gas from Australia is central to Japanese plans to reinforce its energy security

AUSTRALIA's upstream gas remains a priority for Japanese investment as the Asian-Pacific nation takes steps to become a major LNG trading hub. This is true despite a drop in demand in Japan, and the supply glut is only making the case stronger. In recent years Japanese utilities have taken stakes in LNG-export facilities in Australia, a move that has given them access to a diverse portfolio of assets and contracts. Together, Japanese companies have contracted to buy over 42m tonnes a year of LNG. Japanese group Inpex has pioneered the largest project-financed LNG export project in history. Ichthys, with France's Total as partner, will become a central supply point for Australian LNG into Jap