LNG Limited's Magnolia LNG

LNG Limited hires voluntary administrators

Cash-strapped LNG Limited has appointed voluntary administrators as the Australian company is going through difficult times.

Magnolia LNG (Image courtesy of LNG Limited)

The developer of two US LNG export projects and one in Canada said in a statement that it appointed PricewaterhouseCoopers Australia on 30 April.

“The voluntary administrators are reviewing the company’s business and assets and will be in contact with creditors shortly”, it said.

LNG Limited also announced that all of the company’s directors had resigned including chief executive Gregory Vesey.

These developments follow the withdrawal of Singapore-based private company LNG-9 from a deal to buy LNG Limited.

LNG Limited also failed to secure bridge financing from First Wall Street Capital Corp. to keep the company afloat as it was running out of cash.

LNG Limited said then that its existing cash reserves were sufficient to meet all of the company’s commitments until May 2020, but it needed more cash to continue to operate beyond.