The LNG project will include construction of a 12 million tonnes per annum LNG liquefaction facility
MPL selects MUFG as financial advisor for its LNG facility in US. (Credit: Pixabay/GREGOR)
Mexico Pacific (MPL) has selected Japanese investment bank, Mitsubishi UFJ Financial Group (MUFG) as financial advisor for a LNG export project.
MPL is a leading West Coast LNG export project in North America. The LNG project is designed to offer its partners in Asia lower cost, geographic diversity and supply chain resiliency.
To be located on the West Coast of Mexico, the project is expected to result in substantial cost and logistical advantages by connecting the prolific Permian gas basin in the US to Asian markets.
MUFG is claimed to be one of the world’s largest publicly traded financial institutions and is the fifth largest bank by assets, with around $2.9tn as of 31 December last year.
MPL president and CEO Douglas Shanda said: “MPL is pleased to be working with MUFG and we believe they are well positioned to assist MPL due to their longstanding market-leading position in project finance, recent and relevant experience structuring and leading project financing transactions in the Americas, extensive knowledge of project financing in Mexico, and unparalleled expertise in the global LNG market.
“With its breadth of knowledge and experience and strong relationships with leading lenders and investors globally, MUFG’s appointment represents another important milestone in MPL’s aggressive advancement to FID.”
The LNG project to deliver some of the lowest landed cost LNG into Asia
The LNG project will include construction of a 12 million tonnes per annum LNG liquefaction facility on the 1,100-acre site that is owned by MPL in Puerto Libertad, Sonora, Mexico, approximately 200km south of the US Arizona border.
The shorter shipping distance to Asia from West Coast location, as well as its access to low-cost US natural gas, allows the project to deliver some of the lowest landed cost LNG into Asia.