Toshiba LNG Division Sold to Total SA

Unburdening itself from its somewhat risky liquified natural gas venture, Toshiba Corp. completed the sale of Toshiba LNG Corp to oil and gas powerhouse Total SA of France for $15 million. The sale is part of the Japanese firm’s restructuring process.

Technigaz Mark III type LNG membrane inside an LNG carrier. Photo courtesy of Thinfourth


The sale was announced in June when Toshiba realized it would have a hard time profiting from US-produced LNG for Japanese utilities due to the fall of the price of LNG. As it is, the sale to Total SA will still result in a loss for Toshiba of about $847 million for the fiscal year ending in March. Toshiba plans to pay Total about $815 million to take the contracts Toshiba is already committed.


Toshiba’s deal with the US firm to have the rights to process U.S.-produced gas into 2.2 million tons of LNG each year for 20 years beginning in 2019 was brokered back in 2013.
Toshiba’s restructuring comes in the wake of a fraud scandal that came to light in 2015, and after Westinghouse Electric Company, a nuclear power subsidiary, went bankrupt in 2017.

James Cannon

About James Cannon

James Cannon is an experienced hedge fund analyst. He has served on the advisory boards for various different Fortune 500 companies as well as serving as an adjunct professor of finance. James Cannon has written for a variety of Financial Magazines both on and off line. Contact James at james[at]businessdistrict.com