MidOcean Energy Purchases 20% Interest in SK earthon’s Peru LNG

MidOcean Energy, formed and managed by EIG, announced the completion of a previously signed agreement to purchase a 20% interest in SK earthon’s Peru LNG (PLNG)—owner and operator of an LNG export facility and natural gas transport system, including a pipeline and marine terminal.

“The completion of this investment is an important milestone in our efforts to create a global, diversified, and resilient portfolio of LNG assets,” said De la Rey Venter, MidOcean Energy’s CEO. “As the only LNG export facility in South America, PLNG is uniquely positioned in the global marketplace. PLNG also plays an important role in providing gas and LNG to customers in Peru. We look forward to a strong partnership with the PLNG co-venturers and our work towards sustaining PLNG’s positive impact for many years to come.”

PLNG is made up of a natural gas liquefaction plant with a 4.45 mmtpa processing capacity, a 408 km pipeline with 1,290 mmcf/d capacity, two 130,000 m3 storage tanks, a 1.4 km-long marine terminal, and a truck loading facility with a capacity of up to 19.2 mmcf/d. The Hunt Oil Co. operates PLNG, and it is one of only two LNG production facilities in Latin America. PLNG is located in Pampa Melchorita, 170 km south of Lima, Peru.

In March of this year, MidOcean Energy also finalized its previously announced agreement to acquire Tokyo Gas’ interests in a portfolio of integrated LNG projects in Australia. The interest acquisition includes stakes in the Gorgon LNG, Pluto LNG, and Queensland Curtis LNG projects.

“The acquisition of these high quality, cash flowing LNG projects assists in MidOcean’s strategy to build a diversified, global ‘pure play’ integrated LNG company that supports the world’s transition to a low-carbon future,” said De la Rey Venter. “This transaction accelerates our ambition to be a leading player in the global LNG sector for decades to come, and we look forward to servicing key LNG customers in Japan, Asia and across the globe.”

These projects are benefitted by experience from operators such as Chevron, Woodside Energy, and Shell, and contains upstream and midstream operations, liquefaction, and sales as part of its LNG value chain. Per the terms of the acquisition, MidOcean will open an office in Perth to support and oversee the projects.

The Gorgon Project, in Western Australia, is a large-scale natural gas project comprised of three trains with a combined capacity of 15.6 MTPA and a domestic gas plant. Pluto LNG also resides in Western Australia and has been supported by recent turbomachinery deliveries for its role in processing gas from the offshore Scarborough Joint Venture.

Additionally, MidOcean Energy recently received a strategic investment from Mitsubishi Corporation to accelerate its strategy to establish a high quality, diversified, globally integrated LNG company. Mitsubishi’s investment expands MidOcean’s blue-chip investor base that’s been built since launching in 2022.

“Welcoming an industry heavyweight such as Mitsubishi Corp. as an anchor investor and strategic partner accelerates MidOcean’s progress in creating a large-scale, global LNG company,” said R. Blair Thomas, EIG’s Chairman and CEO. “The world’s energy transition needs are contributing to rapid growth in global LNG demand, and we look forward to continuing to execute on this attractive and important opportunity alongside our investors and partners.”