Temasek, RJJ Capital commit $468m in Texas energy company Cheniere


Singapore sovereign wealth investor Temasek and private equity firm RRJ Capital are to invest $468m in Houston-based energy company Cheniere Energy.

Cheniere said it would use the proceeds from the offering and cash on hand to purchase, on a pari passu basis, $500m of the $2bn of equity securities anticipated to be issued by Cheniere Energy Partners, in connection with the financing of the Sabine Pass LNG liquefaction project.

Additionally, it was revealed that Temasek, RRJ Capital and Cheniere are in discussions on a strategic partnership focused on developing LNG sales, marketing and trading relationships and opportunities in Asian markets. The partnership would market LNG volumes from the proposed Sabine Pass and Corpus Christi LNG liquefaction facilities.

“We are pleased to confirm that we have recently agreed to invest in Cheniere alongside RRJ Capital. Cheniere’s established LNG expertise and experience give it the first mover competitive advantage in LNG energy supply,” said Greg Lanham, managing director, investments, Temasek. “This investment helps to expand our longer term interest in the energy and resources sector. We look forward to working with both Cheniere and RRJ Capital and others to tap into opportunities in Asia which are driven by the energy demand of growing middle income populations and continued urbanisation in the decades ahead.”

“We are very excited about our long-term strategic investment in Cheniere,” added Richard Ong, Chairman and CEO of RRJ Capital. “We strongly support Cheniere and their vision to become a world leader in the global LNG industry, including the key Asian LNG market.”

RRJ Capital is a $2.3bn Asia-focused private equity firm targeting on key growth sectors such as energy, natural resources, financial institutions, consumer and healthcare

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