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Japanese firms participate in Australia LNG project

TOKYO, May 1 (KUNA) -- Japan's major trading houses Mitsubishi Corp. and Mitsui Co. said Tuesday they will jointly participate in a large-scale liquefied natural gas development project in Western Australia.
The two firms will join Browse LNG Project promoted by Australia's oil giant Woodside Petroleum through Japan Australia LNG Pty Ltd., which is a 50-50 joint venture between Mitsubishi and Mitsui, according to their statement.
The joint venture's subsidiary will acquire an approximately 15 percent interest in the project from Woodside's unit for USD 2 billion and target potential LNG customers in Japan and the East Asian region.
The closing of the transaction is expected in the third quarter of 2012, after the satisfaction of customary conditions including obtaining the Australian governmental approvals and other project partners, Mitsubishi and Mitsui said. Browse LNG Project aims to commercialize natural gas and condensate from the Browse gas and condensate fields located off the coast of Western Australia.
Japan is the world's biggest LNG importer, and its LNG imports have surged since the Fukushima Daiichi nuclear power plant accident in March last year due to rising thermal power demand on continued nuclear power outage.
Only one out of the nation's 54 commercial reactors is currently in service amid growing public concerns over the safety of atomic power technology in the aftermath of the accident. (end) mk.asa KUNA 011235 May 12NNNN