Mitsubishi Corp (8058.T) is in discussions to purchase the U.S. shale production and pipeline assets of Aethon Energy Management for approximately $8 billion, according to a person familiar with the matter.
If completed, the acquisition would provide the Japanese conglomerate with a significant natural gas footprint near the U.S. Gulf Coast, alongside major energy export infrastructure currently under development.
Talks between Mitsubishi and Aethon are ongoing, said the source, who cautioned that there is no certainty a deal will be finalized. The individual requested anonymity to discuss confidential negotiations.
If finalized, the deal would provide Mitsubishi Corp with a major natural gas footprint near the U.S. Gulf Coast, alongside a growing network of energy export facilities in the region.
Although Aethon owns and operates the assets, major investment stakeholders include RedBird Capital Partners and Canada’s Ontario Teachers’ Pension Plan (OTPP).
Aethon’s most valuable asset is its position in the Haynesville Shale, the second-largest natural gas-producing basin in the U.S., with an output of 3 billion cubic feet per day (Bcf/d). This region plays a vital role in fueling U.S. LNG exports, supplying key terminals such as Cameron LNG—where Mitsubishi already holds a stake—and Venture Global’s Plaquemines facility. Acquiring Aethon would give Mitsubishi direct access to a crucial feedstock source, strengthening its ability to supply global LNG projects—from the LNG Canada initiative to fast-growing markets across Asia—while reducing exposure to the volatility of spot pricing.
Aethon and RedBird declined to comment. OTPP did not immediately respond to a request for comment. Mitsubishi could not be reached outside of regular business hours in Japan.
Aethon’s upstream assets are concentrated in the Haynesville shale region of Louisiana and East Texas, making it one of the largest privately owned natural gas producers in the U.S.
Reuters previously reported in November that Aethon was exploring strategic options for its operations. In addition to its production assets, the company operates more than 1,400 miles (2,250 kilometers) of pipeline infrastructure spanning the Haynesville basin and parts of Wyoming.
Bloomberg News was first to report the ongoing discussions between Mitsubishi and Aethon earlier on Monday, citing sources familiar with the negotiations.
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