Clifford Chance

Clifford Chance advises on Gimi floating LNG vessel project located offshore Mauritania and Senegal, West Africa

Leading international law firm Clifford Chance has advised ABN AMRO Bank N.V., Clifford Capital Pte. Ltd., ING Bank N.V. and Natixis as mandated lead arrangers on the US$700 million financing for the conversion of the LNG carrier Gimi into an FLNG vessel. Following completion of the conversion works at Keppel Shipyard, Singapore, the vessel will be leased to BP for operations on the Greater Tortue Ahmeyim field located offshore Mauritania and Senegal in West Africa.

Golar LNG and Keppel Capital’s US$1.3 billion Gimi FLNG scheme is the first commercially syndicated project financing of an FLNG vessel in the international bank market. The project’s bankability and lender appetite ensured there was no need for support from an export credit agency. The deal has validated the FLNG conversion concept, which was developed by Golar using Black & Veatch liquefaction technology, to offer more flexibility and cost-efficiency in the liquefaction process.

Kate Sherrard, Singapore partner who led on the deal said, "We are delighted to have advised on the financing of the Gimi FLNG project, building on our work in the LNG sector and supporting our clients and industry specialists as they develop innovative and fit-for-purpose solutions to meet the needs of the market. We are fortunate to be acting on many first-of-a-kind and innovative projects across the LNG value chain from exploration to gas to power."

Kate was supported by a multi-jurisdictional team from Singapore, London, Tokyo and Amsterdam, and cross-practice team comprising partners Paul Landless, Matthew Buchanan, Hein Tonnaer and Jurgen van der Meer, counsel Daniel Tan and Guido Bergervoet, senior associates Tom Capel, Tess Forge, James Clark, Mae Yen Teoh and Keith Han, and associates Desmond Ng, Malcolm Ong, Thom Beenen, Jasper Dijkshoorn and Katelijne Ribbink.

The Gimi FLNG vessel will be capable of producing around 2.5 million tonnes a year of LNG in the first phase of the BP's Greater Tortue Ahmeyim project. The project is expected to expand its liquefaction capacity significantly in later phases. The Greater Tortue Ahmeyim project is based on one of the largest offshore gas discoveries in West Africa and is expected to produce its first gas in 2022. The project was awarded African LNG Deal of the Year for 2019 by Project Finance International.