Glenfarne Group LLC, a New York developer, owner-operator and industrial manager of energy and infrastructure assets, revealed itself last week as the new owner of Magnolia LNG.
It acquired the LNG export terminal development project in Lake Charles through its newly formed subsidiary, Magnolia LNG Holdings LLC.
Magnolia LNG is an 8 million tonnes per year LNG export business that has completed the Federal Energy Regulatory Commission permitting process. The 115-acre project site sits on the Industrial Canal near Lake Charles in Southwest Louisiana, and has a long-term Lease Option Agreement in place with the Lake Charles Harbor and Terminal District.
Magnolia LNG is permitted to receive natural gas through the existing Kinder Morgan Louisiana Pipeline, and will pretreat, liquefy and store the LNG onsite for domestic use and export. The transaction also includes the acquisition of Magnolia LNG’s patented OSMR® liquefaction technology, a low-cost, highly efficient process configured to generate lower greenhouse gas emissions than other conventional LNG processes.
Magnolia LNG was previously owned by Liquefied Natural Gas Ltd., which is currently completing a corporate restructuring.
“Magnolia LNG is a well-known and high-quality project to which Glenfarne brings its funding, marketing, development and construction expertise to take it to Final Investment Decision, and then construct and operate the asset,” said Brendan Duval, founder and managing partner of Glenfarne. “We believe in the essential role that natural gas plays in the transition to a lower carbon world. The facility will provide clean, low-cost and reliable energy globally, and we are proud to support this critical infrastructure project.”
Glenfarne has two operating subsidiaries: Alder Midstream, LLC, which focuses on building, owning and operating midstream assets in the investment-grade Americas, and EnfraGen, LLC, a developer, owner and operator of specialized power generation assets. The acquisition of Magnolia LNG increases Glenfarne’s LNG export capacity to approximately 12 mtpa, 4 mtpa of which comes from Texas LNG Brownsville LLC, a late-stage LNG export development project in Brownsville, Texas for which Alder Midstream is the majority owner and managing member.