TOKYO: State-run Japan Oil, Gas and Metals National Corp (JOGMEC) did not award a tender on Friday to buy liquefied petroleum gas (LPG) to store in its national reserves, a trade ministry official said.
The lowest price bidder and JOGMEC would meet on Monday to negotiate the price, the official said, adding that re-bidding will take place if the two sides do not reach an agreement. JOGMEC is seeking 22,000 tonnes of propane for a stockpiling base in Namikata in Ehime prefecture, for delivery until Jan. 31.
JOGMEC has so far bought a total of 110,000 tonnes in the previous four tenders in the fiscal year that started in April. The trade ministry last year said it aimed to buy 198,000 tonnes of LPG during 2015/16. Japan, which has five national LPG stockpiling bases with a total capacity of 1.5 million tonnes, plans to increase stockpiles to full capacity by the end of March 2018.
