International Operations
Developing operations overseas is part of Tokyo Gas’ drive to transform itself into a diversified energy services
company with natural gas as our core business. We are actively participating in the development of natural gas
projects overseas and expanding the scope of our operations into other fields, including ownership and operation of LNG carriers. Tapping our wealth of knowledge about natural gas and how to supply the gas, we arealso contributing to the development of gas infrastructures and economic growth in other countries, particularly those in Asia. Additionally, we have forged partnerships with peer companies and with various institutions
overseas for the purposes of technological and managerial information exchanges. The information we gather
promotes efficient R&D and the formulation of strategies.

Advancing Upstream—Controlling the Total Energy
Value Chain

Tokyo Gas’ Overseas Activities

In August 2001, Tokyo Gas announced that it would participate in theother countries. Tokyo Gas and its group companies have been instrumental

development of a gas project located off the coast of Victoria, Australia,

in a number of successful projects. In Malaysia, for example, we have been

the first such overseas project for the company. Facility construction isactive in a natural gas distribution system project and a gas-fired cogenera-proceeding apace, with supply to the Australian market scheduled to starttion district cooling project—both firsts in that country. These accomplish-in the latter half of 2002.

ments—the first full-fledged overseas projects by a Japanese energy utility

Tokyo Gas has a proud track record in building gas supply infrastructures inIn March this year, we announced our participation in the develop-company—are regarded as models for other Asian countries. Kuala Lumpur

ment of a gas field in the Joint Petroleum Development Area of East

International Airport boasts one of the world’s largest gas district cooling

Timor and Australia, as well as in a gas liquefaction business in Darwin,

systems thanks to Tokyo Gas. Office buildings, hotels, and other facilities inAustralia. Tokyo Gas will also start purchasing LNG from this project incentral Kuala Lumpur have benefited as well from our technology. Mean-2006. This development means that Tokyo Gas will have a presence along

while, Tokyo Gas Engineering Co., Ltd. has been providing technical consul-the entire LNG value chain—from production and liquefaction, throughtation, for example, for the establishment of LNG receiving facilities in Korea,

sales and transportation using our own LNG carriers and marketing in theTaiwan, Thailand and Portugal. Moving forward, we intend to advance over-downstream market. This position will make it possible for us to extract

seas projects that capitalize on our extensive technological expertise gained

maximum value from the natural gas business.

through our operations in Japan.

Tokyo Gas will continue to participate in all areas of the LNG value
chain where such participation enhances our ability to procure natural gasand raises the competitiveness of the Group.

DiliEast Timor

Bayu-Undan Field

Overview of the Bayu-Undan Project
Location: Within the Joint Petroleum Development
Area of East Timor and Australia
250km off the south coast of East Timor,
500km offshore from Darwin, Australia
Proven Natural Gas Reserves:
Approx. 3.4 trillion cubic feet of naturalgas
Approx. 400 million barrels of LPG andcondensate

18 TOKYO GAS Annual Report 2002

Gas Pipeline
DarwinAustralia

Tokyo Gas’ Overseas Representative Offices and Collaborating Partners

GIIGNL (International Groupof Importers of Liquefied Natural Gas)

Beijing Gas Group Co., Ltd.
Korea Gas CorporationSK Corporation

Gaz de France
Lattice Group plc

International Gas Union

Gas TechnologyInstituteShell International
Gas Limited
KeySpan Energy Delivery
Ruhrgas AGParis

New YorkTokyo

Snam Rete
Gas S.p.A.

AmericanGas Association

Kuala Lumpur(Asia Pacific Regional Office)Southern California
Gas Company

Interstate Natural Gas
Association of America

Trunkline LNG Company

Petroliam Nasional Berhad(PETRONAS)
Overseas Representative Offices
Collaborating Partners

Woodside Energy Ltd.

Information Exchanges Lead to Better Operations

The offices also play a vital role in supplying information to foreign

We have three representative offices overseas: New York, Paris and Kuala

shareholders and in gathering information from the capital markets to help

Lumpur. Through these offices we are forging closer ties with energy-in formulating management policies. As deregulation sweeps through therelated companies and institutions around the globe. Collaboration involves

Japanese energy industry, the importance of these activities is increasing to

the exchange of information and staff and contributes to improvements inTokyo Gas.

our operations.

Left
Malaysian trainees
RightMr. Gerald Doucet, Secretary
General of the World Energy
Council, on a visit to Tokyo Gas.

Annual Report 2002 TOKYO GAS 19