GIP to sell Freeport LNG interest to JERA Americas for $2.5 billion

Global Infrastructure Partners (GIP) agreed to sell its 25.7% interest in Freeport LNG Development LP to JERA Americas Inc., the US-based subsidiary of JERA Co. Inc., for $2.5 billion. Global Infrastructure Partners II acquired the stake in 2015.

JERA, through its subsidiaries, owns 25% of Freeport LNG Train 1 and purchases and transports 2.32 million tonnes per year (tpy) of LNG for use in Japan and other LNG importing countries.

Freeport owns and operates an LNG export facility on Quintana Island, near Freeport, Tex. In May 2020, Freeport completed construction on the third of its three liquefaction trains, which together produce over 15 million tpy and are underpinned by long-term contracts.

Freeport is in the process of pursuing multiple growth opportunities, including a fully permitted, shovel-ready Train 4 expansion.

Closing of the transaction is subject to customary regulatory approvals and closing conditions.