BHP Billiton Limited, together with other participants in the North West Shelf Venture, today announced the signing of a long-term LNG sale and purchase agreement with Tohoku Electric Power Company, Inc.

The agreement is for the sale and purchase of 0.4 million tonnes of LNG a year over an initial term of 15 years. LNG deliveries will start in 2005 and will be supplied on a “free-on-board” (FOB) basis.

Tohoku Electric is a new customer to the North West Shelf Venture and provides electricity to the seven prefectures covering the northern end of Honshu. Tohoku Electric has the largest service area in Japan and serves a population of over 12 million.

BHP Billiton Petroleum President and CEO Phil Aiken said he was delighted to welcome Tohoku Electric as a new customer of the North West Shelf Venture.

Mr Aiken said the agreement further underpinned the Venture’s reputation as a leading LNG supplier in the Asian region and represented another landmark in the development of the North West Shelf.

BHP Billiton Petroleum has 16.67 per cent equity in the North West Shelf Project.