Note: This release is a summary of the Japanese-language original.

October 11, 2016
Fukushima Gas Power Co., Ltd.
Japan Petroleum Exploration Co., Ltd.
Mitsui & Co., Ltd.
Osaka Gas Co., Ltd.
Mitsubishi Gas Chemical Co., Inc.
Hokkaido Electric Power Co., Inc.

Decision on Commercialization of Natural Gas-Fired Power Generation Projectat Soma Port in Fukushima Prefectureand Participation of New Business Partners in the ProjectAt the shareholders meeting of Fukushima Gas Power Co., Ltd. (hereinafter “FGP”) held on October 11, 2016,
two important resolutions concerning the Natural Gas-fired Power Generation Project at Soma Port inShinchi Town, Fukushima Prefecture (hereinafter “Project”) were passed. By these shareholder resolutions,commercialization of this Project and, in addition to Japan Petroleum Exploration Co., Ltd. (hereinafter“JAPEX”) and Mitsui & Co., Ltd. that are shareholders since the founding of FGP, the participation of newshareholders, Osaka Gas Co., Ltd., Mitsubishi Gas Chemical Co., Inc., and Hokkaido Electric Power Co., Inc.,
were approved. The said three new shareholders will also assume the role of business partners for thisproject.
FGP has been promoting studies and surveys towards the realization of this Project and conducting
environmental assessment in accordance with the Environmental Impact Assessment Law for the purposeof contributing to the stable supply of electric power and revitalization of the coastal area of Fukushima
Prefecture from the damage caused by the Great East Japan Earthquake. By these resolutions, it wasofficially decided to commence the construction of the “Soma Port Natural Gas-fired Electric Power
Generation Plant (tentative name)” (hereinafter “the Power Plant”) after the completion of theenvironmental assessment, and, in parallel with the assessment process, start preparations for theconstruction of the Power Plant. Furthermore, the newly joined three companies which have expertise inLNG procurement and the power generation business will add strength to the business promotion
organizational structure of this Project. From now on, FGP will lead this project in collaboration with the five
shareholder companies as business partners.
The Power Plant will have two power generation GTCC (Gas Turbine Combined-Cycle) units which cangenerate 590-thousands kilowatts. In addition, FGP plans to construct a new aboveground type LNG storagetank which can store 230 thousand kiloliters and LNG vaporization equipment on the site of JAPEX’s Soma
LNG Terminal, which is under construction at FGP’s neighboring plant site. FGP will outsource to JAPEX
construction management and operations of the new LNG tank and vaporization equipment, including
safekeeping and vaporization of LNG, as well as supply of vaporized natural gas to the Power Plant. FGP
will continue to proceed with the environmental assessment and conclude contracts with EPC (EngineeringProcurement and Construction) contractors, aiming to commence the power plant construction uponcompletion of the environmental assessment expected to be finished by the summer of 2017, and start
commercial operations in the spring of 2020.

1/3

The Power Plant plan is positioned as one of the “New Energy Generation; Low Environmental Impact
Energy Introduction” projects and is expected to play a core role under the Fukushima International
Research Industrial City (Innovation Coast) Framework as a part of “Basic Policy on Economic and Fiscal
Management and Reform" adopted by the Cabinet in 2014. We will contribute to the reconstruction and new
development of industry and regeneration of the cities along the coastal area of Fukushima Prefecture thatare aimed for under the framework.
Please refer to the appendix given in the link about the latest information on FGP, including an outline of thepower plant, shareholders, and their investment ratio.
Based on changes to the market environment such as introduction of the Electricity System Reform Bill torealize full liberalization of entry to the electricity retail business and demand for reduction of CO2 emissions,
FGP and the five business partner companies will continue contributing to the stable supply of electric power
generation at low cost and with a low environmental burden, for the growth of the economy and industry inthe surrounding area of the Power Plant.
###2/3

[Appendix]
1. The Outline of the Electric Power Generation Plant (Planned)
Name
Soma Port Natural Gas-fired Electric Power Generation Plant (Tentative Name)
Site
Soma Port No.4 Warf, Shinchi Town, Fukushima Prefecture* Neighboring JAPEX Soma LNG Terminal
MethodGas Turbine and Steam Power (Combined Cycle)
Fuel
Natural Gas (Vaporized LNG)
* Outsourcing operation of LNG vaporization and vaporized natural gas supply to
JAPEX Soma LNG Terminal neighboring the power plant site
Capacity 1.18 million kW (2 units of 0.59 million kW)
Schedule 2017 Summer Commencement of Construction* After Completion of Environmental Assessment Process
2019 Autumn Start of Commissioning
2020 Spring
Commencement of Commercial Operation (Generate 0.59 million kW)* Generate 1.18 million kW after 2020 Summer

The Bird's-eye View Image of the Plant

Wide-Area Map of the Plant Site

2. Corporate Profile (As of October 11, 2016)
Name
Fukushima Gas Power Co., Ltd.
Head Office
Sapia Tower, 1-7-12, Chiyoda-ku, Tokyo 100-0005 Japan
Tel: +81-3-6268-7128
Date of Foundation April 23, 2015
Representative
Shoichi Ishii, President and Chief Executive Officer(Executive Vice President and Executive Officer of Japan Petroleum Exploration Co., Ltd.)

Capital Stock
Shareholders(Investment Ratio)

Business Area

Capital Stock: 537 million yen / Capital Reserve: 537 million yen
Japan Petroleum Exploration Co., Ltd.
33.0%
Mitsui & Co., Ltd.
29.0%
Osaka Gas Co., Ltd.
20.0%
Mitsubishi Gas Chemical Co., Inc
9.0%
Hokkaido Electric Power Co., Inc.
9.0%
Promoting the Natural Gas-Fired Electric Power Generation Business3/3