EIG’S MIDOCEAN ENERGY BUYS 20 PCT STAKE IN PERU LNG FROM SK EARTHON

KUALA LUMPUR, Feb 9 (Bernama) -- MidOcean Energy (MidOcean), an liquefied natural gas (LNG) company formed and managed by EIG, has entered into a definitive agreement with SK Earthon (SK) to acquire SK’s 20 per cent interest in Peru LNG (PLNG).

According to a statement, PLNG is a highly strategic asset to the Peruvian natural gas sector, providing a key route to monetise its natural gas resources via export.

It also plays an important role in supplying LNG to residential and industrial customers as well as compressed natural gas (CNG)-powered vehicles in various cities across the country.

“PLNG is an asset we know and admire, with sound long-term fundamentals, a strong management team and reliable operations.

“We look forward to joining the PLNG partnership and contributing to the long-term prosperity of that venture and its work toward being a positive role in the Peruvian energy market,” said MidOcean Energy Chief Executive Officer, De la Rey Venter.

MidOcean also is in the process of completing its acquisition of Tokyo Gas’ interests in four Australian LNG projects for US$2.15 billion, which is targeted to close at the end of February. (US$1=RM4.78)

The PLNG transaction is subject to customary closing conditions, with Morgan Stanley acted as exclusive financial advisor to MidOcean on the transaction.

PLNG owns and operates the first LNG export plant in South America, located in Pampa Melchorita, 170 kilometres south of Lima, Peru. Operated by Hunt Oil Company, it is one of only two LNG production facilities in Latin America.

EIG is an institutional investor in the global energy and infrastructure sectors with US$22.9 billion under management as of Dec 31, 2023, specialising in private investments in energy and energy-related infrastructure on a global basis.

-- BERNAMA