The US-based gas company, Anadarko Petroleum, has announced that it is looking to raise between $14-15bn for its liquefied natural gas (LNG) project in Mozambique.
The firm aims to raise the financing from banks and export credit agencies, Reuters reported.
Mozambique’s LNG potential is yet to be fully explored, allowing for Anadarko to develop its $20bn project on such a large scale.
The funding for the project, if it reaches the full desired amount, will be the largest loan ever seen in the LNG industry.
The gas firm are reassured about the scale of the project due to the increased demand from China and Southeast Asia for the fuel alternative, with governments implementing stricter gas regulations.
“There’s enough meat on the bones of the project in terms of supply deals to start sounding out banks,” Reuters reported from a source close to the project.
Societe Generale, the French bank, has been appointed as financial adviser for the project and has already received $12bn worth of interest from export credit agencies in Japan, China, Italy, and South Africa.
“Our target is to raise financing equivalent to approximately two-thirds of the expected capital costs, which, if successful, would represent the largest project financing ever in Africa and one of the largest globally for a non-OECD country,” noted Helen Wells, a spokesperson for Anadarko Petroleum.