[Context: On July 11, Venture Global LNG announced a $675m capital raise with I Squared Capital investing $460m in convertible equity securities. Venture Global’s total capital commitments stand at $2.83bn. Venture Global LNG is building a 10 MTPA export facility at the intersection of the Calcasieu Ship Channel and the Gulf of Mexico, developing the 20 MTPA Plaquemines LNG facility 30 miles south of New Orleans on the Mississippi River, and the 20 MTPA Delta LNG facility, also on the Mississippi River south of New Orleans.Further details and related links are below.]
I Squared Capital Invests in Low Cost, Innovative American-Produced LNG Developer Venture Global LNG
MIAMI–July 11, 2019–(BUSINESS WIRE)–I Squared Capital, through its ISQ Global Infrastructure Fund II, has invested $460 million in convertible equity securities in Venture Global LNG, as part of an $675 million equity capital raise announced by Venture Global LNG on 27 June 2019, to contribute to the development of the company’s cost-efficient LNG export facilities on the Gulf Coast of the U.S.
“We are excited to support Venture Global LNG and its exceptional management team for years to come as they become a global leader in LNG production, leveraging both their highly cost-efficient liquefaction technology and affordable U.S. shale gas,” said Gautam Bhandari, Managing Partner at I Squared Capital. “Our investment gives us exposure to Venture Global’s entire pipeline of highly innovative projects, which will transform how LNG liquefaction facilities will be built in the future.”
Venture Global LNG co-CEOs Bob Pender and Mike Sabel jointly stated: “We are delighted to partner with I Squared Capital, a leading global infrastructure investor, as we build over 60 MTPA of LNG production capacity in Louisiana. This investment will support the development of our pipeline of opportunities along the Gulf Coast.”
I Squared Capital’s investment will be used for the further development of Venture Global LNG’s current projects, all of which will employ a comprehensive process solution from Baker Hughes, a GE company that utilizes highly efficient mid-scale, modular, factory-fabricated liquefaction trains.
UBS Securities served as financial advisor and Sidley Austin LLP served as legal counsel for I Squared Capital on this transaction.
About Venture Global LNG
Venture Global LNG is a long-term, low-cost provider of LNG to be supplied from resource rich North American natural gas basins. Venture Global LNG’s liquefaction process system employs a highly efficient and reliable suite of products supplied by BHGE. Venture Global LNG has begun construction of the 10 MTPA Venture Global Calcasieu Pass facility at the intersection of the Calcasieu Ship Channel and the Gulf of Mexico and is developing the 20 MTPA Venture Global Plaquemines LNG facility 30 miles south of New Orleans on the Mississippi River, and the 20 MTPA Venture Global Delta LNG facility, also on the Mississippi River south of New Orleans. Venture Global has raised total committed capital to-date of approximately $2.83 billion to support the development of its projects. More can be found at www.venturegloballng.com
About I Squared Capital:
I Squared Capital is an independent global infrastructure investment manager focusing on energy, utilities, telecom, transport and social infrastructure in the Americas, Europe and Asia. The firm has offices in Hong Kong, Houston, London, Miami, New Delhi, New York and Singapore.