QatarEnergy continues negotiations with Japanese companies for a long-term Qatar LNG supply deal from the North Field. The deal would deliver at least 3 million metric tons annually to a group of Japanese importers. Currently, JERA and Mitsui & Co. lead the discussions on the Japanese side. They aim to boost their LNG supply security. Meanwhile, Japan continues to depend heavily on LNG for its energy needs.
This potential Qatar LNG supply deal would strengthen Qatar’s position in Asia’s energy market. Competition from the U.S. and UAE has increased recently. However, Qatar still offers consistent volume and reliability.
JERA, Japan’s largest power generator, seeks to diversify its LNG sources. Therefore, it looks toward the Middle East and North America. The company previously chose not to renew a major contract with Qatar in 2021.
Despite that, Qatar LNG supply exported nearly 3 million tons of LNG to Japan last year. Japan once received over 15 million tons annually from Qatar. This volume peaked after the 2011 Fukushima nuclear disaster.
As Japan restarts nuclear reactors, LNG imports from Qatar declined. Yet, demand remains strong due to AI and data center growth. Accordingly, JERA wants flexible and stable energy contracts.
Mitsui & Co. also seeks to ensure steady LNG flow for Japan’s energy balance. Discussions with QatarEnergy remain active. Still, Qatar LNG supply, neither company has confirmed final contract details. Qatar now ranks as the third-largest global LNG exporter. It plans to raise output from 77 to 142 million tons per year. This jump reflects the massive expansion of its North Field.
Japanese firms recognize Qatar’s consistent role in their past energy security. Thus, they still consider it a strategic LNG source. Furthermore, Qatar’s expansion ensures long-term availability for Asian buyers.
If finalized, the Qatar LNG supply deal will restore Qatar’s influence in Japan’s energy market. It could also set pricing benchmarks. Moreover, it might lead to future contracts in other Asian markets.
QatarEnergy pushes to lock in long-term deals before more U.S. LNG hits the market. Buyers now demand more flexibility.
Even so, Qatar’s vast reserves and strong infrastructure attract major importers, and this deal may signal a shift back to long-term LNG commitments. Additionally, it could stabilize energy flows for Japan. Qatar and Japan may use this agreement as a foundation for future cooperation.
