Go to the contents of this page.


Freeport LNG project updates:
Final Investment Decision, Execution of Loan Agreement and Precedent Agreement with Pipeline Company

October 30. 2014


Final Investment Decision and Loan Agreement

FLNG Liquefaction, LLC (FLIQ1) has made a final investment decision and executed the loans agreements for project financing with the Japan Bank for International Cooperation and six commercial banks for the total of abt. US$3.8 billion.  FLIQ1 is the owner of the first liquefaction train of the Freeport LNG project with whom Osaka Gas Co., Ltd. (Osaka Gas) and Chubu Electric Power Co., Inc. (Chubu Electric) have the liquefaction tolling agreement executed in July 2012.  The portion of the loan by the commercial banks is insured by Nippon Export and Investment Insurance (NEXI).


Osaka Gas and Chubu Electric will each acquire 25% equity interest in FLIQ1 upon the first disbursement of the loans.  These investments are also supported by NEXI covering the revocation risk of the LNG export authorizations by the US government.



Precedent Agreement with Pipeline Company

Osaka Gas and Chubu Electric entered into precedent agreements with Gulf South Pipeline Company, LP for transport of natural gas.  The agreements enable the two companies to procure natural gas from major sources in the USA.

More News...