Venture Global sanctions Calcasieu Pass LNG project

Image courtesy of Venture Global LNG

U.S. LNG export project developer Venture Global LNG has made a final investment decision (FID) and closed the financing for its Calcasieu Pass LNG facility and associated TransCameron pipeline.

Venture said that the proceeds of the debt and equity financing would fully fund the balance of the construction and commissioning of Calcasieu Pass.

Full site construction has been underway since February 2019, and the project is expected to reach its commercial operations date in 2022.

According to the company, Stonepeak Infrastructure Partners provided a $1.3 billion equity investment for the project.

The lender group for the company’s $5.8 billion construction financing includes Banco Santander, Bank of America, Goldman Sachs, Industrial & Commercial Bank of China, ING, JPMorgan Chase, Mizuho Bank, Morgan Stanley, Natixis, Nomura Securities, Royal Bank of Canada, Sumitomo Mitsui Banking, and The Bank of Nova Scotia.

The company was able to initially agree on construction financing for its Calcasieu Pass LNG project back in mid-July.

Venture Global LNG co-CEOs Mike Sabel and Bob Pender jointly stated: “The closing of our financing is the culmination of years of hard work, and we want to sincerely thank our Venture Global team, our construction partners, our foundation customers, our lenders and advisors, Cameron Parish, and our local partners in Louisiana.

It is worth noting that Calcasieu Pass received all necessary permits, including FERC authorization and non-FTA export authorization from the U.S. Department of Energy.

The project has 20-year LNG sale and purchase agreements with Shell, BP, Edison, Galp, Repsol, and PGNiG.

Venture Global LNG is also developing the 20 mtpa Plaquemines LNG project and the 20 mtpa Delta LNG project, both in Plaquemines Parish, Louisiana.

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