KUALA LUMPUR, Dec 20 -- Atlantic, Gulf & Pacific International Holdings (AG&P), a leading downstream LNG platform and infrastructure development company, has announced that Osaka Gas Co Ltd, through its affiliate Osaka Gas Singapore Pte Ltd and JOIN (Japan Overseas Infrastructure Investment Corporation for Transport & Urban Development), have reinforced their commitment to AG&P by investing up to US$120 million in AG&P CGD HoldCo SPV3 (Singapore) Pte Ltd (AG&P City Gas), a Singapore-based company that is developing 12 city gas distribution networks, or concessions, in India under the brand name AG&P Pratham. (US$1 = RM4.227)
The new equity will be used to continue to execute AG&P City Gas’s build-out of its 12 exclusive concessions in South India and Rajasthan, according to a statement.
The AG&P network is expanding daily to reach millions of people with clean fuel, including compressed natural gas (CNG) for their vehicles and piped natural gas (PNG) in their homes as well as provide fuel for large and small industrial and commercial customers.
Osaka Gas is a leading energy company and the second largest gas supplier in Japan with a history going back more than one century. The Osaka-headquartered company serves around five million natural gas customers in the Kansai region.
“We strongly believe that our investment in AG&P City Gas will provide Osaka Gas with a valuable asset. We look forward to developing it into one of our core businesses in Asia. With exclusive rights for a vast swath of southern India, roughly equivalent to three-quarters of the area of Japan, these 12 concessions are expected to generate over time a demand of 3.5 billion m3 in gas sales volume, or approximately 50 per cent of Osaka Gas’ recorded gas sales volume last year on a non-consolidated basis,” said Katz Sato, Senior General Manager, Asia Energy Business Department for Osaka Gas.
JOIN, a Japanese government-private sponsored infrastructure investment fund company with a market cap of US$1.4 billion as of June 2021, received approval from the Minister of Land, Infrastructure, Transport and Tourism of Japan to invest in AG&P City Gas to support Osaka Gas’s ongoing collaboration with AG&P in expanding its overseas businesses.
“We, alongside Osaka Gas, are excited to participate in the future of AG&P and to expedite the roll-out of these vital gas network, LNG storage and transportation solutions being built in India by AG&P City Gas,” said Toshiyuki Suzuki, Managing Executive Officer and Head of the Project Department for JOIN.
“As an existing investor in AG&P’s parent, Osaka Gas has continued to demonstrate its support for AG&P’s downstream LNG and natural gas business.
“We are honored to welcome JOIN. The stability and strength of JOIN and the technical and commercial expertise of Osaka Gas and its long history in city gas will accelerate the smart deployment of our network across our concessions in India,” said Joseph Sigelman, Chairman and CEO of AG&P.
-- BERNAMA
No comments:
Post a Comment