JBIC supports LNG procurement with $390mn Trafigura loan agreement

The Japan Bank for International Cooperation (JBIC) on March 29 announced the signing of a loan agreement totalling up to $390mn with Trafigura to facilitate the procurement of LNG by a Japanese utility company. 

In collaboration with Sumitomo Mitsui Banking Corporation, JBIC is co-financing this loan, bringing the total co-financing amount to approximately $560mn.

“Amid the growing global demand for LNG and the increasing uncertainty over resource prices, the loan, which supports the Japanese utility company in procuring term LNG through Trafigura, will contribute toward securing a stable supply of LNG, which is an important energy resource for Japan,” JBIC said.

Recent data released by Japan's finance ministry indicates a declining trend in Japanese LNG imports. February's imports amounted to 6.02mn tonnes, marking a 5.9% year/year decrease, as per provisional data released on March 21.

This decline aligns with a broader trend, with the finance ministry reporting an 8.1% reduction in Japanese LNG imports for 2023.