Fos Cavaou LNG terminal : Elengy buys out Total’s stake in $260m deal

Fos Cavaou LNG terminal news : Total has sold its stake of 27.5% in Fosmax LNG, the operator of the Fos Cavaou liquefied natural gas terminal in France, to Elengy for about $260 million.

Following the deal with Total’s subsidiary Total Gaz Electricité Holding France (TGEHF), Elengy has taken full ownership in the French regasification terminal located at Fos-sur-Mer in the Bouches-du-Rhône region in the southern part of the country.

The French LNG terminal operator, which is a subsidiary of Engie, also owns 100% stakes in the Fos Tonkin and Montoir-de-Bretagne LNG terminals in France.

Elengy, on taking 100% ownership in the Fos Cavaou LNG terminal, stated: “For Elengy, the European leader in LNG terminals, and for its shareholders, this acquisition reflects the ambition to increase the industrial development of its sites at Fos-sur-Mer: Fos Cavaou and Fos Tonkin, at a time when LNG enjoys a new boom to support ecological transition.”

Elengy buys out Total’s stake in Fos Cavaou LNG terminal. Image courtesy of MurlocCra4ler from Pixabay.

Commissioned in April 2010, the Fos Cavaou LNG terminal has a regasification capacity of 8.25 Gm3(n) per year in normal operation, which can be doubled in line with market demand.

Total, which termed the Fos Cavaou LNG terminal as a non-strategic midstream infrastructure asset, said that the sale of its stake will help towards its objective of offloading $5 billion worth assets in 2019-2020.

The French oil and gas giant retains its regasification capacity of about 5.5 million tonnes per annum (mtpa) at the LNG terminal in France, which is equivalent to 90% of the group’s overall capacity. is around 18mtpa in Europe. Currently, Total has a regasification capacity of about 18mtpa in Europe.