By Umar Daraz | June 10, 2026 | 2 Min Read
Japan has signed a major long-term energy agreement with Malaysia as concerns grow over global energy security and rising demand for natural gas.JERA, which is the largest power generation company of Japan, has reached to an agreement with Malaysia to purchase 2 million tons of liquefied natural gas (LNG) annually from Petronas under a 20-year contract starting in 2028.
The deal was announced following a meeting between Sanae Takaichi and Anwar Ibrahim.
Takaichi said cooperation with Malaysia is becoming increasingly important as uncertainty continues to affect global energy markets.
Japan remains one of the world’s most energy import-dependent nations. Rising geopolitical tensions and disruptions in global energy supplies have pushed the country to secure stable long-term sources of LNG.
Malaysia is currently Japan’s second-largest LNG supplier after Australia, accounting for around 15% of Japan’s LNG imports.
Because Japan faces growing electricity demand during the summer season, the agreement was reached. Analysts have warned that the country could face LNG shortages if additional supplies are not secured.
Meanwhile, global LNG prices may continue to rise as strong summer demand in Asia coincides with efforts by the European Union to refill gas storage facilities ahead of winter.
The new agreement is expected to strengthen Japan’s long-term energy security while providing a stable export market for Malaysia’s LNG industry.
Umar Daraz is the Founder and Editor of TodayEast, an independent digital news platform covering global affairs, business, technology, sports, and world rankings. He specializes in data-driven journalism, international news analysis, economic trends, and emerging technologies. Through TodayEast, he aims to provide accurate, accessible, and insightful reporting on the stories shaping the world.