Mitsubishi Corp. acquires Haynesville shale gas business in Louisiana and Texas
Mitsubishi Corp. (MC) has agreed to acquire all equity interests in Aethon III LLC, Aethon United LP, and related entities and interests. This transaction marks MC’s entry into the US shale gas business across the value chain, from upstream ownership through domestic sales and export of produced gas.
MC has reached an agreement with Aethon Energy Management and Aethon’s existing stakeholders, including Ontario Teachers’ Pension Plan and RedBird Capital Partners, for a total equity investment of approximately US$5.2 billion. The acquisition is expected to close in 1Q of Japan's fiscal year (April – June 2026), subject to customary regulatory approvals.
Building on MC’s established North American energy platform – which includes upstream shale gas development with Ovintiv in British Columbia, midstream marketing and logistics through CIMA Energy in Houston, LNG exports via LNG Canada and Cameron LNG, and power generation through Diamond Generating Corp. – this acquisition further strengthens MC’s integrated energy and power business.
Aethon’s shale gas assets are primarily located in the Haynesville shale formation, spanning Texas and Louisiana, and currently produce approximately 2.1 billion ft3/d of natural gas (equivalent to about 15 million tpy of LNG).
Haynesville is a major supply source of natural gas for the growing southern US market and offers favourable access to multiple LNG export terminals, including Cameron LNG, where MC holds liquefaction capacity rights under a tolling agreement. Aethon’s natural gas is currently sold in the US southern market, and part of this volume is being considered for export as LNG to Asia, including Japan, as well as to Europe.
Under its Corporate Strategy 2027, Leveraging Our Integrated Strength for the Future, MC has outlined a value creation framework of ‘Enhance’, ‘Reshape’, and ‘Create’. As part of ‘Create’, MC aims to drive growth through synergies across its existing business segments. This investment will not only strengthen the earnings base of MC’s natural gas and LNG businesses, but also accelerate efforts to build an integrated value chain in the US – from upstream gas development to power generation, data centre development, chemicals production, and related businesses.
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/19012026/mitsubishi-corp-acquires-haynesville-shale-gas-business-in-louisiana-and-texas/
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