Business overview: Overseas business

TOKYO GAS INTEGRATED REPORT 2020

55OVERSEAS BUSINESSOutline

The Tokyo Gas Group has taken part in LNG- and natural
gas-related projects in Australia, North America andSoutheast Asia. In the future, we will engage in the
renewable energy, gas and electric power supply and LNG
infrastructure businesses as well as the resource
development business to expand our overseas business witha view towards realizing the targets set in Compass 2030.
Net Sales

North AmericaUpstream Business

Midstream and Downstream Business

Upstream Business
Midstream- and Downstream BusinessBusiness Location
Birdsboro

Monitoring commodity pricetrends and carefully estimating theproductivity and reserves of gas
fields, we are proceeding to form
appropriate alliances withexperienced operators and invest
in prime assets. At present, we aretaking part in three natural gas
development projects in theUnited States.

In the natural gas fired power
generation business, we carefully
select the projects in which weparticipate. Currently, we are part of
one gas power generation project on
the East Coast of the United States. Inaddition, we will be working on arenewable energy business in Mexico
together with France-based Engie.

East Texas

Segment profit

Barnett

43.9 billion ¥13.2 billion

Eagle Ford¥

FY2019

Cove Point LNG

AcarioBajio

FY2019Heolios EnTG S.A.P.I. de C.V.

Net sales and segment profit(¥ billion)

Net sales (LH)

60

Segment profit (RH)(¥ billion)

20

45

1530

1015

500
2016.32017.32018.32019.32020.3

Crude oil price and foreign exchange rate($/bbl)

120

(¥/$)

Crude Oil Price (LH)

Foreign Exchange Rate (RH)

150

60

100

3050

Southeast Asia

Midstream and Downstream BusinessDownstream BusinessBusiness Location
Bang BoOne Bangkok Co., Ltd.

Gulf WHA MT Natural
Gas Distribution Co., Ltd.

Gas Malaysia Bhd.
Gas Malaysia Energy
Advance Sdn. Bhd.

Petro Vietnam Low Pressure
Gas Distribution

Tokyo Gas Asia Pte. Ltd.
(Singapore)(and six other bases)

In a bid to contribute to the development of natural gas infrastructure,
we offer a broad array of value, ranging from engineering to expertise onoperations and energy conservation services. Specifically, we take part inthe construction of LNG terminals, power plants and other energy
infrastructure and facilities and provide support for demand cultivation,
LNG terminal operations, LNG procurement and other activities. Thus, weare involved in the entire value chain, increasing our presence.

02016.3

Risks

200900Strengths

TGES America
Tokyo Gas America Ltd.
MT Falcon

2017.32018.32019.32020.3Know-how in the midstream and downstream businesses
accumulated in Japan
Global network established through activities such as raw material
procurement and business participation
Business operations may be stalled, the burden ofexpenses may increase and business opportunities may bemissed to meet country-specific laws, regulations and/orbusiness practices.
Fluctuations in crude oil/gas prices and foreign exchange
rates may impact the revenues and expenditures of all
overseas business operations

PT Panji Raya Alamindo

Australia

Upstream BusinessParticipating project
Darwin (Bayu-Undan gas field)
Business Location
Ichthys
Pluto
GorgonQueensland Curtis
Tokyo Gas Australia Pty
Ltd. Perth Office

Australia has grown into a major LNG supply base for East Asia. We haveinvested in five LNG projects in the country, including the Ichthys Project.
We will continue to operate and manage these projects with a view
towards maximizing their value.