Venture Global Issues $2.5B Bonds

Venture Global Inc. has closed a two-tranche offering of senior secured notes with a principal amount of $2.5 billion through the subsidiary overseeing the Plaquemines LNG facility in Plaquemines Parish, Louisiana.

The debt instrument sale comes after Venture Global proposed an investment of about $18 billion to grow the facility’s capacity to over 45 million metric tons per annum (MMtpa).

The first tranche, $1.25 billion, has a 7.5 percent annual interest and matures 2033. The second, totaling $1.25 billion, bears a 7.75 percent annual interest and matures 2035. The interest in each series is payable semi-annually.

Venture Global Plaquemines LNG LLC (VGPL) plans to use proceeds to “prepay certain amounts outstanding under VGPL’s existing senior secured first lien credit facilities”, Arlington, Virginia-based LNG developer Venture Global said in an online statement.

Venture Global Gator Express LLC, VGPL’s affiliate, serves as guarantor, while Regions Bank is trustee.

Plaquemines LNG shipped its first cargo, from phase 1, last December. Phase 2 is expected to start operation this year.

On October 16, 2019, Plaquemines LNG secured authorization from the Department of Energy to export 1.24 trillion cubic feet a year of natural gas equivalent, which according to Venture Global amounted to about 24 MMtpa of LNG. The permit extends a 2016 authorization to include countries with no free-trade agreement (FTA) with the United States.

On October 21, 2020, Plaquemines LNG received approval to extend its export term to December 2050.

On March 11, 2022, Plaquemines applied to raise the capacity to 27.2 MMtpa after new insight on the project’s optimal conditions; the increase in the capacity did not entail additional construction from what had been approved according to Venture Global.

On June 13, 2022, the DOE granted the FTA portion of that request.

On February 19, 2025, the Federal Energy Regulatory Commission approved the 27.2 MMtpa uprate.

On March 6, 2025, Venture Global announced plans for a further brownfield expansion. This proposed expansion, with an expected investment of about $18 billion, would add over 18 MMtpa to Plaquemines LNG’s capacity, resulting in a total capacity of more than 45 MMtpa. Venture Global plans to apply for export authorization this year.

“Our planned expansion of Plaquemines will make it the largest LNG export facility built in North America, supplying LNG to our allies while making a substantial impact on the U.S. balance of trade”, said Venture Global chief executive Mike Sabel. “We believe this flexible incremental capacity will position us to respond rapidly to market growth signals.

“In a capital-intensive commodity industry, capital will always flow to the most competitive projects, and we believe that an expansion of Plaquemines is one of the most economically efficient opportunities available to quickly meet growing LNG demand”.

Plaquemines LNG sits on the Mississippi River, a position that provides deepwater access without the need for dredging, according to Venture Global.

To contact the author, email jov.onsat@rigzone.com