Venture Global secures funds for Plaquemines LNG

US LNG export project developer Venture Global LNG, has secured a $500 million loan for its Plaquemines project.

The company noted on Thursday it has agreed the loan with JPMorgan Chase Bank, Morgan Stanley Senior Funding, Mizuho Bank, and Bank of America.

The proceeds will be used to fund pre-FID construction activities at the company’s Plaquemines LNG export project as well as for general corporate purposes.

The transaction was upsized from $400 million to $500 million based on strong lender interest, the statement reads.

CEO Mike Sabel stated, the company continues towards launching the full construction of Plaquemines LNG project in 2021.

The group of banks signing off the loan for Plaquemines LNG project have also lent the funds for Venture Global’s Calcasieu Pass LNG facility.

Venture Global’s Plaquemines LNG project has contracted 3.5 mtpa of the facility’s 10 mtpa first phase under binding 20-year offtake agreements and received both DOE export authorization and final FERC approval.

JPMorgan and Morgan Stanley served as joint lead arrangers on the transaction, and Bank of America and Mizuho participated as lenders.