The European Commission has approved Japanese firm JERA’s joint venture with France’s EDF Trading’s liquefied natural gas (LNG) unit.
Under the agreement, JERA will acquire the latter company’s LNG business under JERA Trading of Singapore to create a larger trading operation.
EDF Trading North America will also be responsible for supplying electricity and natural gas to meet the capacity requirements of JERA Trading – currently active in coal and freight trading – at the Freeport liquefaction terminal.
The Commission concluded the proposed deal would not raise competition concerns as it does not result in any overlaps.
Yuji Kakimi, President of JERA said: “We look forward, through JERA Global Markets, to optimising our global LNG portfolio with more flexible LNG sources and associated shipping positions amid the uncertainties of LNG demand in Japan and global LNG market developments.”