Venture Global makes final investment decision on $15.1 billion CP2 LNG project

Venture Global LNG Inc. has made a final investment decision (FID) and closed $15.1 billion in project financing for Phase 1 of its CP2 LNG export terminal and the associated CP Express pipeline. A rendition of CP2 is seen here. (Image: Venture Global)

Venture Global LNG Inc. has made a final investment decision (FID) and closed $15.1 billion in project financing for Phase 1 of its CP2 LNG export terminal and the associated CP Express pipeline, marking what it called the largest standalone project financing in history.

The commitment, backed by more than 30 international banks, is the latest in a string of high-profile transactions by the Arlington, Virginia-based LNG developer. CP2 becomes Venture Global’s third major project on the Louisiana Gulf Coast, following Calcasieu Pass and Plaquemines LNG. Collectively, the company’s facilities now represent 43.5 million tonnes per annum (MTPA) of contracted export capacity.

“We are extremely proud to have taken FID on our third greenfield project in under six years with over $80 billion in capital markets transactions executed to date,” said Mike Sabel, CEO of Venture Global. “Our significant early investments and work on the project make CP2 the most advanced project at FID to date.”

Sabel said the project, which is fully owned by Venture Global and its shareholders, will begin LNG deliveries in 2027. CP2’s Phase 1 production will be supported by long-term sales and purchase agreements (SPAs) with customers across Europe, Asia and other international markets.

At full buildout, CP2 LNG will have a peak capacity of 28 MTPA. The facility’s location near Venture Global’s existing assets in Cameron Parish gives it access to existing infrastructure and natural gas pipeline networks.

The $15.1 billion financing package drew over $34 billion in commitments, reflecting ongoing global interest in U.S. LNG infrastructure, particularly among countries seeking long-term energy security.

The lender group includes top-tier institutions such as Bank of America, Barclays, Goldman Sachs, J.P. Morgan, Mizuho, MUFG, RBC, SMBC, and Wells Fargo, among others. ING and Santander acted as Lead Arrangers for the construction term loan and working capital facility, while Bank of America and Scotiabank led the equity bridge loan.

Legal counsel for the transaction included Latham & Watkins LLP for Venture Global and Skadden, Arps, Slate, Meagher & Flom LLP for the lending group.

Venture Global has emerged as one of the largest exporters of U.S. LNG since entering production at Calcasieu Pass in 2022. The company’s integrated business model includes upstream natural gas procurement, transportation, liquefaction, shipping and regasification.

Venture Global also plans to deploy carbon capture and sequestration (CCS) systems across its entire LNG portfolio, in line with its long-term emissions reduction strategy.