HOME >  News Releases >  2011 >  JOGMEC provides equity financing to Mitsubishi’s Shale Gas Development Project in Canada.

JOGMEC provides equity financing
to Mitsubishi’s Shale Gas Development Project in Canada.

May 9, 2011

 Japan Oil, Gas and Metals National Corporation ("JOGMEC", President: Hirobumi Kawano) decided to provide equity capital finance to a subsidiary of Mitsubishi Corporation ("MC", President: Ken Kobayashi) for a shale gas development project in the Cordova Embayment of northeastern British Columbia, Canada.
 
 In September 2010, MC's Canadian subsidiary, Cordova Gas Resources Ltd.("CGR"), acquired a 50% interest in the project operated by Penn West Exploration, consisting of shale gas acreage, conventional natural gas assets and related natural gas facilities. 
 
 JOGMEC will indirectly hold a 7.5% stake in CGR through Shale Gas Investment B.V., an investment vehicle established by MC and JOGMEC, which remains the largest shareholder in CGR.
 
 With enormous gas resources potential, this first JOGMEC-assisted unconventional gas development is expected to accelerate the diversification of gas sources and, consequently, to reinforce Japan's energy security. 

Supplemental Remarks (Project profile)

(1)Corporate Data
Company Name Shale Gas Investment B.V.
Date of Establishment August, 2010
Head Office Amsterdam
President & Secretary Mr. Tetsuro Kuwabara
Shareholder Mitsubishi Corporation and JOGMEC

(2)Blocks (see attached map)
Cordova Embayment, British Columbia, Canada.
(3)Participating Interest
Permit Holder  ParticipatingInterest
Penn West Exploration  50%(Operator)
Cordova Gas Resources Ltd.  50%
(4)Adoption as an eligible project for providing equity financing
Adoption Date April 2011
Estimated equity capital provided by JOGMEC 12 billion JPY
(based upon JOGMEC's own calculation)

(5)Reason for adoption
The project fulfils JOGMEC's technical, economic, political and business related criteria.
Attachment

Location of Project

The inquiry about this page.

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Japan Organization for Metals and Energy Security
(JCN 4010405009573)

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