Tokyo Gas Co. (9531.TO) said Wednesday it has signed a preliminary agreement with BG Group to purchase liquefied natural gas made from coal bed methane in Queensland, Australia and to buy stakes in the project.

Under the agreement, Tokyo Gas aims to buy 1.2 million metric tons a year of LNG for 20 years from 2015. It will buy a 1.25% stake in a gas block and a 2.5% stake in the no. 2 liquefaction train.

-By Mari Iwata, Dow Jones Newswires; 813-6269-2798; mari.iwata@dowjones.com
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