(Bloomberg) -- Japanese oil refiner Eneos Holdings Inc. is considering the spinoff of its metals unit, JX Nippon Mining & Metals Corp., as the company increases its focus on renewable energy, according to a Nikkei report.

Eneos will also weigh listing the unit, Nikkei reported Wednesday, without citing anyone. The company is expected to keep a stake after the spinoff, and still has to decide how much it will sell, the report said. 

The company is set to include the proposal in its mid-term management strategy to be announced Thursday, according to Nikkei. A spokesperson for Eneos said the company was not the source of the report.

Japan’s top refiner is mulling the spinoff because there is little overlap between the metals unit and its main business, Nikkei said. Eneos is focusing on accelerating a transition to renewable energy and hydrogen as petroleum demand is expected to shrink, it said.

Related story: Japan’s Top Refiner Is Gearing Up for the Oil Industry’s Decline

JX Nippon Mining focuses primarily on nonferrous metals, including copper and rare metals. The company has a stake in the Caserones copper mine in Chile. Canada’s Lundin Mining Corp. recently said it would purchase a 51% stake in the operator of the mine, JX Nippon Mining’s SCM Minera Lumina Copper Chile.

--With assistance from Stephen Stapczynski.

(Updates throughout with details from the report)

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