Golar reaches financial close on Sergipe LNG-to-power project
April 19, 2018
Golar LNG’s joint venture with Stonepeak Infrastructure Partners, Golar Power, reached financial close on the Porto de Sergipe I LNG-to-power project in Brazil.
Located in Sergipe, the project will include a 1.5GW power plant, a dedicated 34 km 500KV high-voltage transmission line, and associated gas pipeline and mooring infrastructure required for the integrated LNG import terminal facility.
Centrais Elétricas de Sergipe (CELSE), the project company owned 50 percent by Golar Power, will receive $1.34 billion under a non-recourse project financing structure, Golar LNG said in a statement.
The total project capex is estimated at US$1.74 billion, with a total equity contribution of $400 million fully paid-in, including $123 million in cash reserve accounts that were pre-funded by the project sponsors.
In connection with the financial close of the project, Golar Power has also executed final agreements with CELSE to charter the Golar Nanook, a floating storage and regasification unit (FSRU) with a 170,000 cubic meter capacity for a period of 26 years.
The terminal is located in a strategic entry point within 20km of the main gas distribution network and has the potential to unlock future LNG distribution opportunities into Brazil, the statement reads.
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Stonepeak has been busy in Sth America.
LNG Price at posting:
43.0¢ Sentiment: Buy Disclosure: Held
