Daily News: December 15, 2014

BofA, Others Arrange Cheniere Energy Project Financing

Cheniere Energy announced that it has engaged 18 financial institutions to act as joint lead arrangers to assist in the structuring and arranging of up to $11.5 billion of debt facilities. The proceeds will be used to pay for the costs of development and construction of the LNG export facility and related pipeline being developed near Corpus Christi, TX (the Corpus Christi Liquefaction Project) and for general business purposes.

The estimated capital costs for the proposed liquefaction project of $11.5 billion to $12 billion, before financing and pipeline facilities, are expected to be funded from a combination of debt and equity financings.

The 18 arrangers are Bank of America, BNP Paribas Securities, Credit Suisse, Goldman Sachs, HSBC, ING Capital, Intesa Sanpaolo, JPMorgan Chase, Lloyds Bank, Mizuho Bank, Morgan Stanley, Royal Bank of Canada, The Bank of Nova Scotia, Société Générale, Sumitomo Mitsui Banking Corporation, Commonwealth Bank of Australia, Standard Chartered Bank and The Bank of Tokyo-Mitsubishi UFJ.

“Our core banking group for the Corpus Christi Liquefaction Project consists of a strong group of financial institutions and we look forward to our continued relationships with these banks, the majority of which participated in our Sabine Pass liquefaction project. We have now received the equity and debt commitments needed to support the financing of the Corpus Christi Liquefaction Project,” said Charif Souki, chairman and CEO. “We are continuing to make progress on our Corpus Christi Liquefaction Project and expect to commence construction in early 2015.”

Commencement of construction for the Corpus Christi Liquefaction Project is subject, but not limited to, obtaining regulatory approvals, entering into long-term customer contracts sufficient to underpin financing of the project, obtaining financing and Cheniere making a final investment decision.

Houston-based Cheniere Energy is an energy company primarily engaged in LNG-related businesses.