Shearman & Sterling Advises K-SURE and Lenders on US$1 Billion Development and Financing of Bahrain LNG
Shearman & Sterling advised K-SURE and the commercial lenders, Standard Chartered Bank, Korea Development Bank, APICORP, Natixis, ING Bank, Credit Agricole, Société Générale, Ahli United Bank and Banco Santander on the US$1 billion financing for the development of an LNG receiving and regasification terminal in Bahrain.
The project will be located in Hidd Industrial area of Bahrain and will be developed on a BOOT (build, own, operate, transfer) basis that will comprise:
- a Floating Storage Unit (FSU)
- an offshore LNG receiving jetty and breakwater
- an adjacent regasification platform
- subsea gas pipelines from the platform to shore
- an onshore gas receiving facility
- an onshore nitrogen production facility
The project will have a capacity of 800 million standard cubic feet per day and will be owned and operated under a twenty-year agreement commencing on 15 July 2018. The terminal will help Bahrain meet the increasing demand for gas supplies to satisfy its industrial and urban development requirements.