RPT-Tokyo Gas to step up overseas expansion in renewables, LNG

(Repeats story without changes)
* Aims to boost global renewable assets tenfold by 2030
* Plans to grow LNG trading to 5 mln tonnes by 2030
* Expects to announce deal soon to boost stake in a LNG
project

By Yuka Obayashi
TOKYO, Dec 12 (Reuters) - Distributor Tokyo Gas Co Ltd
9531.T will step up overseas expansion, boosting stakes in
renewable energy, liquefied natural gas (LNG) development and
infrastructure projects, to triple its overseas profit by 2030,
its president said.
Last month, Japan's biggest seller of city gas unveiled a
long-term vision that targets a rise of 67% in operating profit
by 2030 through overseas expansion. Tokyo Gas and other utilities are grappling with falling
demand at home as Japan ages rapidly with a declining birthrate,
while the liberalisation of its energy markets has spurred
competition among old-guard utilities.
"Our priority is to increase renewables," Tokyo Gas
President Takashi Uchida told Reuters in an interview on
Tuesday.
It wants renewables to generate 40% of its overseas profits
of about 40 billion yen ($368 million) by 2030.
The company's renewable assets are only 490,000 kilowatt
(kW) generation capacity, mainly solar and onshore wind power
assets in Mexico, but it aims to raise global renewable assets
tenfold to 5 million kW by 2030.
"We are interested in entering offshore wind projects,"
Uchida said.
Another key source of growth will be LNG upstream assets and
infrastructure projects in Southeast Asia, he added.
"Our focus is to invest in foreign companies in a way (that)
we have control, instead of just buying stakes in upstream
assets, as they could become engines for our future growth,"
Uchida said.
Tokyo Gas is in final talks with First Gen Corp FGEN.PS , a
clean energy producer based in the Philippines, to build an LNG
terminal there, he said.
"We want to do it as soon as possible, but we still need to
discuss on how much risk we can take," Uchida said, adding that
he expected a final investment decision once power purchase
agreements have been secured.
Tokyo Gas, which imports about 14 million tonnes of LNG a
year, is likely to announce a deal "soon" to raise its stake in
an existing LNG upstream project, Uchida said, without
identifying it.
Another target is to boost LNG trading to 5 million tonnes
by 2030 from practically nil now, to generate 10 billion yen in
profit, he said.
"We are not seeking profits from financial trading and all
of our trades will be linked with physical supplies," Uchida
said.
The company's main activities in this area will be swapping
cargoes with overseas partners or making seasonal swaps with
other utilities, he said. It already has a trading desk with two
staff in Singapore, but may hire more traders, Uchida added.
($1=108.6400 yen)