Northern (NOG), Oceaneering (OII) Soar on LNG Demand from Japan

Being the largest importer of coal and liquefied natural gas, Japan is expected to boost its purchases of liquefied natural gas to offset the loss in energy from the nuclear challenges in the country, with Northern Oil and Gas(AMEX:NOG), Oceaneering (NYSE:OII), and others receiving the benefits of that.

The EIA said in a report, “As a result of the March 11 earthquake, the country is likely to import more spot LNG along with other fuels to cover the nuclear power outages as occurred after the last earthquake disruption at the Kashiwazaki-Kariwa nuclear facility in 2007. Only one small regasification terminal, Shin Minato LNG, shut down as a result of the recent earthquake, allowing the country to continue importing LNG and potentially compensate for some portion of lost nuclear capacity.”

Coal miners are also getting a push from the expected growth in demand for electricity in Japan.

Oceaneering International closed Thursday at $79.81, gaining $3.35, or 4.38 percent. Northern Oil & Gas closed at $29.58, up $1.52, or 5.42 percent.