Japanese investors are deepening their commitment to Indonesia’s largest LNG project, joining a $7 billion expansion of the Tangguh facility as they seek to diversify energy supplies beyond Russian sources.
Mitsubishi Corp., Mitsui & Co., and state-owned JOGMEC collectively hold a 23.3% stake in the project, representing one of Japan’s significant overseas energy investments. JOGMEC leads the Japanese consortium with 10.2%, followed by Mitsubishi at 9.9% and Mitsui with 3.2%.
The investment in a fourth gas field comes as both trading houses actively expand their global LNG portfolio. Mitsubishi recently increased its stake in a Malaysian LNG venture and plans a Canadian joint venture for 2025. Meanwhile, Mitsui secured a 10% stake in a UAE project scheduled for 2028.
The expansion will help maintain Tangguh’s annual production capacity of 11.4 million tonnes when operations begin in 2028. The project includes innovative carbon capture technology, with plans to reinject CO2 into existing gas fields rather than releasing it into the atmosphere.
The investment aligns with Japan’s strategy to secure stable energy supplies following sanctions on Russia and recent U.S. restrictions on new LNG export permits.
