Total To Takeover Toshiba’s LNG Portfolio

Total has announced it has signed an agreement with Toshiba to take over its LNG portfolio. Total will receive $800 million USD from Toshiba to take over contracts linked to the LNG business. Total will acquire all the shares of Toshiba America LNG corporation for $15 million USD. The transaction is expected to close by the end of 2019.

The agreement includes a 20-year tolling agreement for 2.2 million tonnes per annum (Mtpa) of LNG from Freeport LNG train 3. Freeport LNG's Train 1 is scheduled for commercial startup in Q3 2019, and full three-train commercial operations anticipated by mid-2020.

“The takeover of Toshiba’s LNG portfolio is in line with Total’s strategy to become a major LNG portfolio player. Adding 2.2 Mtpa of LNG to our existing positions in the US, in particular Cameron LNG, will enable optimizations of the supply and operations of these LNG sources,” said Philippe Sauquet, President Gas, Renewables and Power at Total. “Already an integrated player in the US gas market, Total is set to become one of the leading US LNG exporters by 2020 with a 7 Mtpa portfolio”.

Total will have an overall LNG portfolio of around 40 Mtpa by 2020. Total sold 21.8 million tonnes of LNG in 2018.