The shale revolution, which began in the U.S., caused significant change in the global supply and demand structure for crude oil and natural gas, and as a result the business environment surrounding energy has transformed dramatically in the last few years. In addition, amid ongoing geopolitical risks centered on the Middle East, the slump in the price of crude oil has been prolonged and the resultant uncertainty has increased. Amid this environment, the group aspires to develop as an enterprise that makes a valuable contribution to society through the provision of stable supplies of energy. These business activities rely on an extensive network developed over many years with users in Japan and overseas, oil- and natural gas-producing nations and major oil companies. Aiming to be an “unique and sustainable energy business as the energy arm of a general trading company”, the group engages in daily business activities with an eye on coexisting with the energy society of tomorrow by focusing on securing energy resources and ensuring stable energy supplies while also taking the global environment into consideration in order to further increase the corporate value.
The Energy Business Group has several key strategies: maintain and expand existing projects, particularly natural gas projects, and bring online new projects or ones under development; develop and strengthen E&P business; create new business models for tapping into globalization and growth markets; and strengthen MC's strategies and functions in support of these activities. While focusing on Japan, we intend to develop our businesses globally to capture demand in other Asian countries and emerging economies.
The Energy Business Group contributes to the development of industry and helps to improve the quality of people's lives. We handle energy in liquid, gas, and solid states, which provide consumers with light, heat and power. Our expansive energy portfolio includes liquefied natural gas (LNG), crude oil, petroleum products, liquefied petroleum gas (LPG), petroleum coke, metallurgical coke and carbon products.
Our business model seeks to cover areas ranging from upstream to downstream in the energy value chain. We explore, develop and produce oil and gas, and have investments in LNG projects. We import and trade trilaterally, and we have interests in domestic trading and retail businesses. Our group is taking measures to use energy more effectively and at the same time protect the natural environment. We are proactively working on new energy businesses such as gas-to-liquid (GTL) and bio fuels are cases in point.