Japan’s JERA Acquires Louisiana Haynesville Gas Asset for $1.5 Billion

JERA Co. will acquire Williams and GEP’s Haynesville Shale gas asset in Louisiana for $1.5 billion, expanding production to 1 Bcf/d and strengthening Japan’s energy giant’s U.S. natural gas and LNG portfolio.

(P&GJ) — JERA Co. Inc., Japan’s largest power generation company, has agreed to acquire the South Mansfield gas asset in Louisiana’s Haynesville Shale from Williams and GEP Haynesville II, LLC for $1.5 billion through its U.S. subsidiary, JERA Americas Inc.

The Haynesville Acquisition includes producing assets delivering more than 500 million cubic feet per day (MMcf/d) and about 200 undeveloped drilling locations. JERA said it plans to double total production to 1 billion cubic feet per day (Bcf/d) through additional investment.

Located in western Louisiana, the asset benefits from proximity to Gulf Coast LNG terminals and data center hubs, along with established gathering and transport infrastructure.

“The U.S. energy sector is leading the way in the global LNG market and JERA’s investments have lined up accordingly,” said John O’Brien, CEO of JERA Americas. “The upstream Haynesville Acquisition is a strategic addition to our asset portfolio, enabling us to advance our unique supply chain expertise while deepening our commitment to America’s energy future.”

Ryosuke Tsugaru, JERA’s chief low carbon fuel officer, said the acquisition “enhanced diversification for JERA’s LNG value chain” and supported its mission to ensure “a stable and secure energy supply globally.”

The deal strengthens JERA’s North American footprint, which includes a 20-year, 5.5 million tonnes per year U.S. LNG offtake agreement and the Blue Point low-carbon ammonia project. JERA also owns interests in 10 U.S. power generation assets.

The transaction is subject to customary closing conditions and regulatory approvals.