Price Negotiations On LSC Fuel During April-June Not Make A Progress

摘要

The ongoing negotiations between JX Nippon Oil and Energy Corporation and major customers to fix a price of low sulfur fuel oil C (LSC fuel) for power generation during the period from April to June 2012 have not made a progress. The price negotiations during April-June, which is the first quarter of fiscal 2012, are apt to be prolonged because of annual reviews of cost formula. It is said that the reason why the negotiations are running into trouble is because the agreements have not been made on the cost and percentage between domestically produced fuel oil and the imported one. However, the specific contents of the negotiations are unknown.