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.”

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.