Total has divested its 27.5% interest in Fosmax LNG, operator of the Fos Cavaou LNG terminal, as a result of a competitive sale process to Elengy, Fosmax LNG’s shareholder with a 72.5% stake, that exercised its preemption right. Elengy now owns 100% of its three LNG terminals: Fos Cavaou, Fos Tonkin and Montoir-de-Bretagne.
The consideration for the transaction is around US$260 million, including acquisition of a shareholder loan and excluding any earnouts. This sale of non-strategic midstream infrastructure assets will contribute to Total’s objective of divesting US$5 billion in 2019 – 2020.
Elengy’s acquisition of the shares is financed mainly by an increase in Elengy’s capital reserved for the Société d’Infrastructures Gazières (SIG). The SIG now owns close to 18% of Elengy’s capital, with the balance being held by GRTgaz.
Total retains its regasification capacity of around 5.5 million tpy at the terminal, equivalent to some 90% of its overall capacity. Total currently has regasification capacity of around 18 million tpy in Europe, allowing it to serve local market demand with LNG from the multiple sources in its world-class portfolio.
Read the article online at: https://www.tanksterminals.com/terminals/06022020/total-sells-interest-in-fos-cavaou-lng-terminal/