Venture Global LNG Signs $3 Billion Revolving Credit Facility Agreement

en.Wedoany.com Reported - On September 2, Venture Global's wholly owned subsidiary, Venture Global LNG, Inc. (VGLNG), signed a $3 billion, 364-day senior secured revolving credit facility agreement. The facility and borrowings thereunder will mature on September 1, 2027, and funds may be used for general corporate purposes of VGLNG and its subsidiaries, including a portion of project costs for the CP2 LNG and Plaquemines LNG expansion projects prior to their respective final investment decisions (FIDs).

Bank of America served as coordinating lead arranger, sole bookrunner, and administrative agent. BBVA, Goldman Sachs, ING, JPMorgan, Mizuho, MUFG, National Bank of Canada, RBC, Scotiabank, SMBC, U.S. Bank, and Wells Fargo served as coordinating lead arrangers; Barclays, Santander, and Deutsche Bank served as joint lead arrangers.

VGLNG may elect to pay interest at the Secured Overnight Financing Rate (SOFR) or the base rate, with an applicable margin of 2.50% per annum for SOFR loans and 1.50% per annum for base rate loans; upon achieving specified rating thresholds, the applicable margin may be reduced by up to 100 basis points. VGLNG may prepay borrowings prior to maturity without premium or penalty. The facility is secured by first-priority perfected security interests in substantially all of VGLNG's and future guarantors' existing and future assets; no guarantors existed at the time of signing, and certain subsidiaries will be required to guarantee the facility upon meeting specified debt conditions in the future.

The credit agreement also includes restrictive and maintenance covenants covering restricted payments, additional indebtedness or preferred stock, liens on assets, guarantees of third-party obligations, certain investments and loans, material asset dispositions, and affiliate transactions, and stipulates that failure to pay principal or interest when due, breach of relevant covenants without cure within specified periods, and bankruptcy, insolvency, or reorganization events may constitute events of default.

Both expansion projects explicitly covered by this financing are currently in the development and regulatory approval stages. The CP2 expansion project submitted an application to the U.S. Federal Energy Regulatory Commission in May 2026 for an expansion of 11.7 million tonnes per annum and filed a corresponding LNG export authorization request with the U.S. Department of Energy in July; the company currently targets an FID in early 2027 and first output by late 2028, subject to receipt of regulatory approvals. U.S. Department of Energy filings indicate that the project's requested export volume is equivalent to 620.5 billion cubic feet of natural gas per year, with the public comment period for the non-FTA export application closing on October 2, 2026.

The Plaquemines LNG expansion project plans to add up to 31.0 million tonnes per annum of liquefaction capacity, and the related FERC application has entered the formal review process. Venture Global currently plans to advance the expansion project's FID in the first half of 2027, subject to receipt of regulatory approvals, targeting first LNG in 2029.