JERA Strengthens Its Energy Presence With Haynesville Acquisition in Louisiana

In a significant move to bolster its footprint within the U.S. energy landscape, JERA Co. Inc., Japan's leading power generation company, has announced the completion of its acquisition regarding the South Mansfield upstream asset in the Haynesville Shale basin, located in western Louisiana. This strategic acquisition, made through its subsidiary, JERA Americas, Inc., involves the full acquisition of stakes owned by Williams and GEP Haynesville II, LLC.

The acquisition underscores JERA's long-standing commitment to the state of Louisiana, where it has already made substantial investments across various sectors, including natural gas, liquefied natural gas (LNG), renewable energy, and advanced technology related to carbon reduction. This move marks a significant milestone in JERA's ongoing efforts to contribute to local economies by generating employment opportunities, enhancing tax revenues, and fostering long-term economic stability.

Key Projects Footprint in Louisiana

JERA's commitment to the region isn't limited to the Haynesville Acquisition but includes several innovative energy initiatives:

1. Blue Point Low-Carbon Ammonia Project: Launched in partnership with CF Industries and Mitsui Co., this project is anticipated to be one of the largest facilities worldwide, aimed at producing approximately 1.4 million tons of ammonia annually from natural gas while implementing carbon capture and storage technologies.

2. Oxbow Solar Farm: This 300-megawatt solar energy project in Pointe Coupee Parish stands as Louisiana's largest solar facility, providing around 400 construction jobs over two years and continuing to serve the local community with economic benefits.

3. LNG Offtake Agreements: JERA has secured long-term contracts for LNG procurement, including commitments for one million tons from Cameron LNG and possibilities for an additional three million tons per annum from Louisiana, which will bolster the energy supply chain.

4. Carbon Capture Innovations: Through JERA Ventures, the company invests in cutting-edge carbon capture technologies targeting emissions from gas-fired power generation, partnering with organizations like Newlab New Orleans to develop sustainable solutions.

Commitment to Safety and Community Engagement

John O'Brien, the CEO of JERA Americas, emphasized that Louisiana is a state of strategic importance for JERA. He stressed that the Haynesville Acquisition reflects their intent to be a long-term partner within the energy sector. O’Brien noted, “We will approach Haynesville with the highest commitment to safety, operational excellence, and respect for the communities where we work.” The company's approach involves building lasting relationships and reinforcing their presence in the state through responsible investments and continuous contributions to local development.

With the acquisition that involved an upfront investment of $1.5 billion, JERA is set to leverage existing Gulf Coast infrastructure and pipeline access. Notably, the development plan encompasses capturing and sequestering associated carbon dioxide produced during operations, aligning with JERA’s strategic vision for a lower-carbon future.

About JERA Americas

JERA Americas stands as a prominent player in the U.S. power generation scene, committed to delivering sustainable, affordable, and stable energy solutions. As a leading force in lower-carbon fuel initiatives—including LNG, clean hydrogen, and ammonia—the company is dedicated to supporting both the U.S. and global markets. Headquartered in Houston, JERA Americas is a subsidiary of Tokyo-based JERA, which supplies approximately 30% of Japan's electrical needs, establishing itself as one of the most significant energy providers and LNG purchasers internationally.

Through ongoing investments and strategic acquisitions like that of the Haynesville asset, JERA envisions a more sustainable energy landscape that benefits both its operations and the communities in which it operates.