Washington, D.C.-based LNG producer, Venture Global LNG, announced today it raised $81.4 million in additional capital from high-profile, very large institutional investors. This is the company’s sixth round of equity investment, which brings the latest Reg. D transaction to an aggregate funding total of $361 million.
Co-CEOs, Mike Sabel and Bob Pender stated, “This private placement represents the capital markets continued confidence in our ability to execute on our development of 30 million tons of LNG production. By 2021 we expect to launch commercial operations for Calcasieu Pass and deliver the lowest cost LNG from North America to the global market.”
The proceeds will fund Venture Global’s development activities for its LNG export facilities in Louisiana. The company is developing two export facilities, Calcasieu Pass, located in the southwestern Louisiana Cameron Parish, less than 50 miles south of Lake Charles, and Plaquemines, located in Plaquemines Parish, south of New Orleans.
The two innovate export facilities are planned to provide long-term, low-cost, clean, and reliable North American liquefied natural gas. Over $240 billion in exports are expected over the lifecycle of both facilities. The project is projected to provide power to 30.9 million homes in Europe and Asia.
In March, Venture Global LNG filed a formal application with the US Federal Energy Regulatory Commission requesting authorization to site, construct and operate the Plaquemines LNG export terminal. The company is also seeking permission to build the Gator Express pipeline system, following the preliminary review process with FERC.
Construction of the Plaquemines LNG project is expected to begin in 2018. Once FERC authorizes the project, full operation is scheduled to begin in Q1 of 2023. When fully operational, the facility may produce up to 24 mtpa, or the equivalent of approximately 1,240 Bcf/yr of natural gas, according to filings with the Department of Energy.
Blockchain Adoption in Oil & Gas
The advent of new technologies has ushered in new opportunities in the form of greater transparency, security and mobility across the Oil & Gas value chain. Blockchain is one such technology which has immense usages across the O&G industry.