Japanese banks financing LNG

The top three spots in Poten & Partners’ 2015 ranking of the world’s LNG project finance lenders have been taken by Japan’s Bank of Tokyo-Mitsubishi UFJ, Mizuho and Sumitomo Mitsui Banking Corp. The rankings appear in Poten & Partners’ LNG Finance in World Markets published on April 17.

Japanese banks tool five of the top 10 spots in the inaugural rankings. The Netherlands’ ING came in fourth and Societe Generale of France at five. 18 lenders from 15 countries provided most of the global LNG project finance funds in 2014. In total, banks included in the rankings extended project finance loans of US$12.28 billion last year.

Key findings

• 11 Japanese banks provided over US$5 billion to LNG projects or 43% of total lending in 2014.
• 20 European banks accounted for US$4.8 billion of total lending.
• Other lenders in the Asia Pacific region, which included banks from Australia, Singapore, South Korea and China, provided US$941 million.
• Despite the US hosting the two biggest project financings of 2014, Cameron LNG and Freeport LNG, only US$780 million came from US lenders an US$510 million from Canadian lenders.
• Bank lending to LNG projects in 2014 eclipsed 2013’s total of US$9 billion.

Methodology

The rankings are based on LNG project financings that reached financial close in 2014. They include:

• Transactions with a total value of US$50 million or more.
• LNG projects, LNG ships, FSRUs, and other terminals as long as they are structured as non or limited resource financings.
• Both uncovered loans and those that are covered by export credit agencies.

Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/20042015/lng-japan-financing/