Japan strengthens energy ties to Saudi Arabia, Oman

Japan strengthens energy ties to Saudi Arabia, Oman

Yasutoshi Nishimura, Japan’s economy, trade and industry minister, visited the Gulf this week to finalize several energy agreements with Saudi Arabia and Oman. 

What happened: Oman’s state liquified natural gas company, Oman LNG, signed three natural gas supply agreements totaling 2.35 million metric tons per year with the Japanese companies Itouchu, Jera and Mitsui. Oman will deliver the gas starting in 2025, the official Oman News Agency reported Tuesday. 

The governments of Oman and Japan also signed cooperation agreements related to hydrogen, clean ammonia, carbon recycling, oil and natural gas, according to the agency. 

Japan and Saudi Arabia also held their first-ever energy ministerial dialogue in Riyadh on Sunday. Nishimura and Saudi Energy Minister Prince Abdulaziz bin Salman bin Abdulaziz led the meeting and discussed the “importance of supporting the stability of global oil markets," the official Saudi Press Agency reported. The two countries also signed memorandums of understanding related to carbon recycling, ammonia and hydrogen.

Saudi Arabia and Japan also held a joint investment Monday and signed 15 additional bilateral agreements, per the agency. 

Why it matters: Oman is looking to boost its gas output, particularly with sales to Asia. Oman is also seeking more cooperation with Iran in this regard, according to an August report from