“More than 20 months after their first cargo, Venture Global’s claim to still be commissioning a facility that, according to publicly available data, has been producing at around nameplate capacity for more than a year is simply unbelievable and increasingly untenable.”
“Our team will continue to deliver on our mission to bring more clean, low-cost US LNG to the global market in the coming years to support the world’s rapidly growing demand for energy.”
The LNG company CEO Mike Sabel said Venture Global was “thrilled” to be Excelerate’s “inaugural long-term LNG supplier”.
“The combination of low fees and increasing costs mean we estimate unlevered internal rates of return (IRRs) as low as 5-6% for some projects. Based on these returns, some projects are finding it challenging to secure finance, particularly via equity raises,” said Harrison.
Venture Global LNG has taken final investment decision (FID) on its Plaquemines LNG, with the largest project financing package globally this year.
Venture Global LNG has signed up to provide ExxonMobil’s Asian unit with 2 million tonnes per year of LNG.
As European gas prices hit new record highs, US LNG producers are swinging into action on future supply.
Venture Global has set out plans to capture 500,000 tonnes per year of carbon at its Calcasieu Pass and Plaquemines LNG projects.