Japan's JERA to Buy Louisiana Shale Gas Asset for $1.5 Billion

By Kosaku Narioka

Japanese energy giant JERA has agreed to acquire a shale gas asset in western Louisiana for $1.5 billion as part of efforts to build a diversified portfolio and mitigate risks in a volatile energy market.

JERA, a joint venture between Tokyo Electric Power and Chubu Electric Power, said Thursday that it agreed with Tulsa, Okla.-based Williams Cos. and GEP Haynesville II to acquire their interests in the South Mansfield upstream asset located in western Louisiana's Haynesville shale basin.

JERA said the shale gas project is supported by robust production, proven reserves, established infrastructure and proximity to liquefied-natural-gas hubs and data centers around the Gulf Coast.

The company said that the Haynesville site produced more than 500 million standard cubic feet of gas per day and that it planned to double production in the future.

The Haynesville acquisition adds to JERA's growing presence in the U.S. It recently signed deals to secure up to an annual 5.5 million tons of U.S. LNG over 20 years. It also decided to invest in a low-carbon ammonia production project in Louisiana. JERA wholly or partially owns 10 power-generation assets in the U.S.

"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 Americas' energy future," said John O'Brien, chief executive of JERA Americas.

JERA said the acquisition is subject to customary closing conditions and regulatory approvals.

Write to Kosaku Narioka at kosaku.narioka@wsj.com

(END) Dow Jones Newswires

October 23, 2025 01:43 ET (05:43 GMT)