Mitsubishi plans $1.4b rescue for plant

TOKYO, May 06 (Reuters): Japanese trading house Mitsubishi Corp and MUFG Bank plan to rescue plant engineering company Chiyoda Corp with a $1.4 billion lifeline, betting on a turnaround fueled by greater LNG demand, the Nikkei newspaper reported on Monday.

Chiyoda, one of the world's leading builders of liquefied natural gas (LNG) plants, has struggled with losses after a hurricane hit its Cameron LNG project in Louisiana.

However, a global shift from coal is seen boosting the demand for natural gas, and Royal Dutch Shell has forecast the global LNG trade to rise 11 per cent to 354 million tonnes this year. Mitsubishi has said it expects such growth to also fuel a rise in LNG projects.