Financing Overview
JPMorgan Chase & Co. and Banco Santander SA are spearheading a financing package estimated between $14 billion and $15 billion for the Argentina LNG project, a venture with a total capital requirement of approximately $24 billion. The project is led by state‑run YPF SA together with Italy’s Eni SpA and Abu Dhabi‑based XRG, each holding roughly one‑third of the equity.
Funding Structure
In addition to the lead banks, the consortium is in discussions with other lenders, notably export credit agencies, to close the remaining funding gap. The arrangement aims to secure the full capital needed for the offshore liquefied natural gas (LNG) terminal and associated infrastructure.
Project Details
The offshore LNG terminal, to be situated on Argentina’s Atlantic coast, is designed to produce 12 million tonnes of LNG per year, positioning it among the world’s largest floating facilities. The development includes two floating liquefaction vessels, two cross‑country pipelines, and a natural‑gas‑liquids (NGL) processing plant.
Timeline and Economic Context
The project sponsors target a final investment decision (FID) in late November. The overall project cost exceeds the Argentine government’s $20 billion agreement with the International Monetary Fund, underscoring the scale of private sector involvement.