TEPCO turns to LNG after nuclear crisis

Tokyo Electric Power Co. will procure 3.1 million tons of liquefied natural gas each year from an offshore gas field in northwestern Australia for up to 20 years beginning 2007.

TEPCO is set to increase LNG procurement following the nuclear crisis at its Fukushima Daiichi power plant crippled by the March 11 earthquake and tsunami, a company official said.

The Wheatstone LNG Project, currently under development by the four Australian companies TEPCO signed an agreement and two subsidiaries of major U.S. energy company Chevron Corp., is due to begin production in fiscal 2016, the utility, known as TEPCO, said without disclosing the value of the deal.